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GSK slumps after FDA panel recommends against drug

approval

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FTSE 100 up 0.1%, FTSE 250 up 0.5%

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Burberry ( BBRYF ) jumps on early signs of recovery

By Ankita Yadav

July 18 (Reuters) - London's main stock indexes rose on

Friday, with the blue-chip index hovering near record highs,

aided by a slew of positive updates from companies such as

Burberry ( BBRYF ).

The internationally-oriented FTSE 100 was up 0.1% as

of 1044 GMT, and was on track for a fourth consecutive week of

gains, while the midcap FTSE 250 index rose 0.5%.

The blue-chip index surged to all-time highs earlier this

week as investors shrugged off domestic growth concerns to take

comfort in a relatively U.S. tariff-shielded market, higher

commodity prices and hopes of a Bank of England rate cut.

"The FTSE 100 continues to prove that the stock market is

not the economy, with rising unemployment, a black hole in the

public finances, and resurgent inflation pressures doing little

to dampen sentiment for the UK's top stock index," said Joshua

Mahony, chief market analyst at Scope Markets.

The FTSE 100 has gained about 10% so far this year, beating

the pan-European STOXX 600 index which is up 8.1%.

Among stocks, Burberry ( BBRYF ) shares jumped 6.5% on Friday

to their highest in nearly 17 months after the luxury brand's

comparable retail sales fell less than expected. The strong

earnings showed early signs of a recovery for the company that

has struggled with underperformance.

Heavyweight BP also gained 2% after the energy major

said it had agreed to sell its U.S. onshore wind business, bp

Wind Energy, to U.S.-based electricity transmission systems

operator LS Power.

On the flip side, GSK was the biggest drag on

the blue-chip index, dropping 6.1% to a three-month low, after a

U.S. FDA advisory panel recommended against approving the

pharmaceutical giant's blood cancer drug Blenrep, citing earlier

concerns over eye-related side effects.

Reckitt rose 0.3% after the consumer goods group

said it has sold a majority stake in its Essential Home business

to private equity firm Advent International in a deal valued at

$4.8 billion, including debt.

($1 = 0.7746 pounds)