FTSE 100 up on Obama victory

US President Barack Obama’s victory pushed up the blue chip index in early trading. His win is expected to mark the continuation of loose monetary policy and low interest rates at the Federal Reserve.

Miners and engineering firms led the FTSE All-Share higher, with boiler and valve maker Spirax-Sarco adding 6.76 per cent in early trading as it reported a jump in operating profit of eight per cent.

Conveyor belt maker Fenner jumped 3.8 per cent, as it lifted its dividend by almost a third on increased profit and revenue.

Miners Ferrexpo, New World Resources and Avocet Mining rose 2.9 per cent, 2.72 per cent and 2.7 per cent respectively.

Rig maker Lamprell added 2.46 per cent. Last month it issued its fourth profit warning since the spring.

Meanwhile, shipbroker Clarksons fell 11.77 per cent in early deals, as it said it had reduced its expectations for its full-year results.

FTSE 100 miner Randgold Resources dropped 5.46 per cent as it said production fell over the third quarter. Fellow miner Talvivaara, whose Sotkamo metals plant has been shut due to a leakage, fell 2.5 per cent.

Credit card insurer CPP Group, which rose strongly last week after rumours of a takeover offer, shed 2.52 per cent in early deals.

UK banks were mainly in positive territory this morning. HSBC fell 0.37 per cent, RBS was up 0.18 per cent, Barclays was up 0.03 per cent, while Lloyds Banking Group stormed ahead, adding 5.47 per cent.

In Asia, the Nikkei closed down 0.03 per cent and in the US, the Dow Jones closed up sharply higher at 1.02 per cent.