FTSE 100 Live: London stocks recover as oil and gold climb on Iran tensions

Group 1: Company Updates - Chemring Group experienced a 3.5% decline due to production issues at its Tennessee plant, but maintained its full-year outlook with a strong £1.364 billion order book and new contracts, indicating growth potential from increased NATO and allied defense budgets [2] - Diageo PLC shares rose 1.8% to 1,813p as new CEO Dave Lewis plans a significant restructuring of the executive team to address sluggish demand and US tariff challenges [2] - Anglo American PLC's shares increased by 1% to 3,612p after reporting a slight rise in 2025 underlying EBITDA to $6.4 billion and $1.8 billion in cost savings, with strong operational performance noted by CEO Duncan Wanblad [2] - BlackRock Smaller Companies Trust's shares jumped 4% to 1,433p following its merger with Throgmorton, creating a £780 million growth-focused trust, which will feature co-managed overlapping portfolios and reduced fees [2] Group 2: Economic Indicators - The UK public sector recorded a £30.4 billion surplus in January, significantly higher than last year's £14.5 billion and exceeding economists' expectations of £24 billion, driven by strong tax receipts [3] - Borrowing for the financial year to January was reported at £112.1 billion, down 11.5% from the previous year, while the public sector current budget showed a £40.9 billion surplus for the month [4] - The surplus was largely attributed to lower-than-expected interest payments and underspending, although increased spending in other areas may pressure future budgets [4]