HSBC leads FTSE higher after in-line results
* FTSE 100 up 0.5 percent
* HSBC rises after in-line results
* Miners bolstered by China PMI data
By Tricia Wright
LONDON, Nov 4 (Reuters) - Britain's top shares rose on Monday, led by HSBC which unveiled in-line results, while miners found favour on the back of robust data out of top metals consumer China.
HSBC advanced 1.9 percent after its profits rose 10 percent last quarter, in keeping with analysts' expectations, as cost cuts helped offset a drop in investment banking revenues.
"They're better than some of the (results from) other European and UK banks ... I think this could give the FTSE more legs," said Nick Xanders, head of strategy at BTIG.
The FTSE 100 was up 33.61 points, or 0.5 percent, at 6,768.35 points by 0901 GMT, extending gains from Friday when it firmed 0.1 percent. Technical analysts remained bullish on the index, which hit a five-month high at 6,819 last week and is up more than 12 percent from June.
"Although it stumbled at around the 6,800 level last week there is no clear technical evidence at this point to suggest that its rally is over," Charles Stanley analyst Bill McNamara said.
Mining stocks climbed 0.8 percent after activity in China's services sector expanded at the fastest pace in 13 months in October in a further sign that the economy has stabilised.
Growing expectations in the market that the ECB will strike a more dovish tone at its latest meeting also helped the mood, with some expecting an interest rate cut this week following a surprise drop in euro zone inflation in October.
"The China data is helping the miners, but over and above that we've got ... perceptions of further easing from the ECB - a lot of people are speculating that they'll cut rates this week," said Michael Hewson, chief market analyst at CMC Markets. (Reporting by Tricia Wright, editing by Elizabeth Piper)