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The London stock market's leading index FTSE100 surged to a ten-day peak on Friday following positive earnings reports from European luxury companies, which lifted Burberry and Diageo. Additionally, a decline in the value of the pound boosted the shares of companies that generate a significant portion of their income in dollars. The FTSE 100 rose by over 1%, reaching its highest level since January 16. LVMH, a French luxury powerhouse, saw its stock soar by 8.2% after reporting a 10% increase in fourth-quarter sales. Meanwhile, Burberry, a British luxury brand, experienced a 2.6% increase in its stock value. Diageo also performed well, with a 3.9% increase, following a smaller-than-expected decline in sales from French spirits maker Remy Cointreau. On the other hand, the domestically focused FTSE 250 index saw a slight dip of 0.1%, with Tullow Oil dropping by 3.7% after being downgraded to "sell" by Stifel. Despite this, both UK stock indexes appeared poised for their first weekly gain in four weeks, supported by discussions of additional stimulus for China's slowing economy and positive corporate updates.

Croda, a specialty chemicals firm, saw a boost in its stock following strong earnings reports from Lonza and Sartorius. Diageo also experienced an increase after positive third-quarter results from Remy Cointreau, a French spirits maker. Burberry, a luxury fashion brand, saw significant gains after solid performance from LVMH, the owner of Louis Vuitton and Christian Dior. Vodafone's stock rose despite facing a formal investigation by the UK's competition regulator regarding its proposed £15bn merger with Three UK. On the other hand, Sainsbury's and Tesco faced pressure as JPMorgan Cazenove lowered their price targets, expressing caution about the UK grocery market based on investor feedback.

FTSE Bias: Bullish Above Bearish below 7500

• Below 7375 opens 7320
• Primary support at 7382
• Primary objective 7827
• 20 Day VWAP bearish 5 Day VWAP bullish

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