UK's FTSE 100 hits record close as US shutdown nears end

Reuters11-13
UPDATE 1-UK's FTSE 100 hits record close as US shutdown nears end

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FTSE 100 up 0.1%, nearing 10,000 mark

FTMC closes near flat

SSE climbs to record high after unveiling 33 bln-pound plan

Updates after market close

Nov 12 (Reuters) - London's FTSE 100 logged a third consecutive record close, supported by gains in utilities and mining shares as investors welcomed signs of a potential end to the prolonged U.S. government shutdown.

The blue-chip .FTSE index closed 0.1% higher, within striking distance of the 10,000 mark. The mid-cap index FTSE 250 .FTMC was down 0.7%.

Leading Wednesday's gains, the utilities sector .FTUB6510 advanced 4% as SSE SSE.L surged 16.8% to a record high after unveiling a 33 billion-pound ($44.29 billion) five-year investment plan to upgrade the UK's regulated electricity networks and expand its renewable business.

Metal miners .FTNMX551020 gained 1.3% as copper prices strengthened in global commodity markets.

The improved market sentiment followed growing optimism that the U.S. House of Representatives may soon vote to end the government shutdown that has disrupted crucial economic data releases. A resolution would provide greater clarity for the Federal Reserve's future interest rate decisions.

Back in the UK, investment banking stocks .FTNMX402020 fell 1.7% with 3i Group III.L in the lead with 3.3% losses.

Industrial shares .FTNMX502050 declined 2%, with credit data specialist Experian EXPN.L dropping 4.9% despite forecasting full-year revenue growth of 11%, the upper end of its outlook range.

Homebuilders .FTNMX402020 declined 2.3%. Taylor Wimpey's TW.L shares fell nearly 4% after reporting a softer autumn selling season as British buyers hesitated ahead of the budget announcement.

Energy shares .FTNMX601010 fell 1% as oil prices dipped, with oil majors BP BP.L and Shell SHEL.L dropping 1.7% and 0.7%, respectively.

Market participants are awaiting Thursday's preliminary UK GDP figures for the third quarter, which will offer key insights into the nation's economic health before the government's budget announcement later this month.

Among other stocks, Smithson Investment SSON.L rose 7% after announcing plans to convert its assets into an open-ended fund, while Avon Technologies AVON.L jumped 6.3% to a five-year high following an upbeat fiscal year outlook.

($1 = 0.7451 pounds)

(Reporting by Utkarsh Tushar Hathi in Bengaluru, Editing by Leroy Leo and Ed Osmond)

((utkarshtushar.hathi@thomsonreuters.com))

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