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FTSE 100 up 0.1%, FTSE 250 down 0.5%

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Pound, gilt yields down after finance minister's remarks

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AB Foods falls as it explores spin-off of Primark fashion

chain

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Diversified Energy jumps on hiking annual profit forecast

(Updates with closing prices)

Nov 4 (Reuters) - London's FTSE 100 closed slightly

higher on Tuesday, bucking the downward trend seen across global

markets as healthcare gains and sterling weakness provided

crucial support.

The blue-chip index finished 0.1% higher, weathering

the storm that swept through European and U.S. markets.

In contrast, the midcap index fell 0.5% and extended

its losing streak to seven consecutive sessions.

Metal miners faced pressure as a strengthening dollar pushed

gold and copper prices lower, with both precious

and industrial mining sectors retreating over

1.7%.

Financial stocks also struggled, with insurers

and investment-banking shares

falling 1.3% and 0.3%, respectively.

The aerospace and defence sector declined

1.2%, with engineering firm Senior falling 2.9%.

The gloomy sentiment was widespread across markets, with

Germany and France posting losses. The

pan-European STOXX 600 dropped to its lowest level

since mid-October and U.S. stock indexes also traded lower.

In the UK, the heavyweight healthcare sector's

1.3% gains helped offset weakness in other areas.

A weaker pound provided additional support for the

main index after Chancellor Rachel Reeves warned of "hard

choices" ahead in an unusual speech just three weeks before

delivering her second annual budget. UK government bond yields

also declined in response.

"Her speech was as much about managing expectations as

setting direction," said Nigel Green, CEO of deVere Group.

Energy stocks advanced 0.3%, boosted by

Diversified Energy's 8.1% gains after it hiked annual

profit forecast. Oil major BP rose 1.3% after reporting a

smaller-than-expected decline in third-quarter underlying

profit.

Looking ahead, the Bank of England is expected to maintain

interest rates at their current level on Thursday, though recent

softer inflation and wage data could strengthen the case for a

future cut.

Among individual movers, Associated British Foods ( ASBFF )

fell 3% after announcing it might separate its Primark fashion

retail business from its food operations. The company also

reported a 13% drop in full-year profit.