London close: FTSE finishes on the front foot as investors weigh earnings and data

LONDON (ShareCast) - (ShareCast News) - The FTSE 100 picked up steam to close on a positive note after a mixed day of corporate reports and economic data. In Europe, German retail sales rose 5.1% in June, beating expectations for a 4% increase. Compared to a month ago, sales dropped 2.3%, ahead of forecasts for a 0.3% gain.

Eurozone inflation held steady in July as expected by analysts, as falling energy prices were offset by rises in industrial goods. The consumer price index remained at 0.2%, according to the flash estimate from the EU's statistics agency Eurostat.

Meanwhile, Greece remained in focus as talks between the country and the European Union and International Monetary Fund over a third bailout began.

The IMF reiterated that it would not disburse any Greek aid before it sees evidence of concrete reforms and a granting of debt relief.

In the US, the Chicago PMI rose to 54.7 in July from 49.4 a month earlier, moving above the 50 level that signals an expansion in manufacturing activity and beating expectations for a reading of 50.8.

The University of Michigan's index on US consumer confidence was revised lower to 93.1 in July from an earlier estimate 93.3, according to a final reading. Analysts had expected a reading of 94.

In corporate news, Lloyds Banking Group declined as the lender reported its first half results and set aside an extra £1.4bn provision for PPI mis-selling, which was higher than analysts expected.

ITV (LSE: ITV.L - news) gained as US media giant Liberty Global (NasdaqGS: LBTYA - news) upped its stake in the broadcaster to just under 10%.

Cruise operator Carnival (LSE: CCL.L - news) sailed to the top of the leader-board mid-afternoon on a gust of positive sentiment from across the Atlantic. US peer Royal Caribbean posted second-quarter profits that were stronger than expected and raised its outlook for the full year. Also carried on the tailwinds of this news was London-listed TUI (LSE: TUI.L - news) .

In the oil and gas sector, BG Group (LSE: BG.L - news) rallied after posting a slump in second-quarter earnings that were better than analysts had forecast and reporting record oil and gas output.

Elsewhere in the resources space, Chilean miner Antofagasta (Other OTC: ANFGF - news) saw its shares fall after it announced that it had agreed to a $1.01bn deal to acquire a 50% interest in the Zaldivar copper mine from Barrick Gold (Hanover: ABR.HA - news) . The immediately earnings-enhancing deal will be funded from the company balance sheet and consists of $980m upon closing and five annual payments of $5m per year, starting in 2016.

Royal Bank of Scotland (LSE: RBS.L - news) declined on news the government is set to launch the first sale of its shares since the lender's £46bn taxpayer-funded rescue nearly seven years ago, marking the beginning of the bank's return to private ownership. Bankers have been sounding out investors for the past week about a sale of RBS stock that could begin in the next few days.