London stocks rise on China recovery optimism

British equities rose on Tuesday as China-exposed stocks jumped after Beijing said domestic growth would be higher in the second quarter, while mining stocks rose on higher metal prices, reports Reuters.
The blue-chip FTSE 100 rose 0.1 per cent, while the more domestically-focussed FTSE 250 midcap index added 0.5 per cent.
China's Premier Li Qiang told delegates at the World Economic Forum in Tianjin that the country's economic growth in the second quarter will be higher than the first and is expected to reach the annual economic growth target of around 5 per cent.
Li also said that Beijing would roll out more effective measures to expand domestic demand and open markets.
"Investors want to see those growth figures actually being achieved rather than just promises that they will be achieved," said Danni Hewson, head of financial analysis at AJ Bell.
"There has been disappointment (in the past), but don't bet against China when the authorities really get their finger out."
China-exposed banks HSBC and Standard Chartered added 0.4 per cent and 1.2 per cent, respectively, while insurer Prudential gained 1.7 per cent.
Industrial metal miners added 0.4 per cent as copper prices edged higher, while precious metal miners rose 1.1 per cent tracking higher gold prices.