UPDATE 2-FTSE 100 hits 10-month high as sterling slips

* FTSE 100 up 0.8%, FTSE 250 up 0.1%
* Poor PMI data, BoE comments hurt sterling
* Insurers gain as property reinsurance rates rise in
Florida
* Funding Circle slumps after cutting revenue outlook
* Croda in the red for 7th straight session

(Adds news items, analyst comments, graphic, updates to closing
prices)
By Shashwat Awasthi
July 2 (Reuters) - Britain's main share index scaled a more
than ten-month high on Tuesday driven by gains in
internationally exposed stocks that benefited from a weaker
sterling.
The FTSE 100 .FTSE , whose components book a major chunk of
their revenue from overseas, gained 0.8% and hit its highest
level since August 2018.
The more domestically focused mid-cap index, the FTSE 250,
.FTMC edged 0.1% higher but was subdued as the pound slipped
after a survey showed Britain's construction industry suffered
its worst month in more than 10 years in June.
"There is no sugar-coating these numbers, they are awful,"
said CMC Markets analyst Michael Hewson, adding that the data
called into question the Bank of England's argument that an
interest rate hike was more likely than a rate cut.
"If anything these numbers scream rate cut."
BoE governor Mark Carney later said a global trade war and a
'no-deal' Brexit may warrant a near-term policy response, which
markets interpreted as dovish signals. Consumer goods company Reckitt Benckiser RB.L and spirits
company Diageo DGE.L were among the biggest boosts to the
blue-chip bourse.
Financial stocks .FTNMX8350 advanced for a sixth straight
session to further support the main index.
Weighing on the mid-cap index was a 29% slide in the shares
of Funding Circle FCH.L after the peer-to-peer lending
platform halved its 2019 revenue growth forecast due to weak
demand for loans. While the UK markets eked out gains, the relief rally
sparked by a breakthrough in the U.S.-China trade talks fizzled
out in Asia as focus shifted from a truce to the likelihood of
an actual deal being struck any time soon.
Such a sceptical view gained ground after President Donald
Trump said on Monday that any trade deal with China would need
to be "somewhat tilted" in favour of the United States.
Among other moving stocks, insurer Hiscox HSX.L rose 2.2%
and peer Admiral ADML.L was up 1% after reinsurance broker
Willis Re said property reinsurance rates rose by up to 25% in
the latest renewal round in areas of Florida hit by hurricanes.
Croda CRDA.L slipped 4% to a near six month low after UBS
downgraded the speciality chemicals maker's stock and Citigroup
cut its price target.
Jupiter Fund Management JUP.L skidded 8.5% after it said
it was considering appointing Devon Equity as adviser for
European Opportunities Trust, prompting Jefferies analysts to
call the news 'negative' and flag a potential 2% cut to 2020 net
management fees. <^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^^
Funding Circle lags FTSE 250 since its debut https://tmsnrt.rs/2FMwHg8
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