FTSE 100 up 0.6, FTSE 250 up 0.4
Retail sales show partial rebound
LG up on solvency coverage ratio outlook

Nov 18 Reuters The FTSE 100 rose on Friday as the energy and mining sectors boosted the exporterheavy index a day after Britain unveiled its new budget aimed at returning stability to the economy.

The bluechip FTSE 100 rose 0.6, while the more domestically focused FTSE 250 midcaps added 0.4.

Precious metal miners rose 0.7, while the energy sector gained 0.5.

Commodity producers were in demand, extending a recent rally for the mining and oil sectors as investors hope the global economic slowdown won39;t be as bad as previously feared, Russ Mould, investment director at AJ Bell, said.

The FTSE 100 is expected to gain 0.6 for the week, while midcaps are seen clocking their first weekly fall in five.

Meanwhile, British finance minister Jeremy Hunt challenged critics within the Conservative Party who are unhappy with his plan for higher taxes, saying that his new budget was needed to tackle inflation now running at a fourdecade high.

It would have been better if the government was able to adopt some countercyclical measures, but with this budget they actually are going to aggravate the slowdown in demand that is already underway, Stefan Koopman, senior market economist at Rabobank, said.

Data showed British retail sales staged only a partial rebound last month after shops closed in September for the funeral of Queen Elizabeth, and they remained below their…