London markets climb after higher than expected BP profits

London markets were up on Tuesday, boosted by heavyweight BP PLC’s higher than expected profit announcement and a technology stock rally on Wall Street late on Monday.

Mining and banking stocks also lifted the markets.

How did markets perform?

The FTSE 100 UKX, -0.06% rose 1.4% to 7,136.35 after finishing up 0.2% on Monday.

Meanwhile, the pound GBPUSD, -0.0155% fell to $1.2963 from $1.3033.

What’s driving the markets?

The pound slipped after data showed that the U.K.’s services sector is struggling. According to Chris Beauchamp, chief market Analyst at IG, this fresh piece of data should prompt the Bank of England to be a “touch more cautious on the U.K. economy”. A weak pound can be positive for stocks, notably big exporters who earn revenue in other currencies.

Major oil companies rose on Tuesday, after BP PLC BP., +1.28% swung to a profit in the fourth quarter of 2018, exceeding analysts’ expectations following a strong operating performance across all its business segments. Rivals, including Royal Dutch Shell PLC RDSA, -0.06%  and Tullow Oil PLC TLW, +0.75% also got a boost.

A higher Wall Street session on Monday also lifted London’s markets, as technology and internet stocks rallied pulling the Dow Jones Industrial Average DJIA, -0.08% close to a new high.

What shares were active?

Other than oil, mining stocks were also active, with Antofagasta PLC ANTO, +0.00% up over 1% and BHP Group PLC BHP, -0.52% and Rio Tinto PLC RIO, -0.10%  both gained 1%.

Heavyweight banks were also up, with HSBC Holdings PLC HSBA, -0.44% adding 1.6%.

Online supermarket delivery company Ocado PLC OCDO, -6.34%  led the top decliners on the FTSE 100, after its losses widened, climbing 1.7%.

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