FTSE 100 LIVE: Stocks rise as traders await UK spending review and US-China trade update

The FTSE 100 ( ^FTSE ) and European stocks crept up on Wednesday morning as chancellor Rachel Reeves prepared to deliver the government’s spending review, outlining day-to-day departmental budgets for the next three years.

It has already been confirmed that defence spending will rise to 2.5% of national income by 2027, and there are reports of an extra £30bn for the NHS.

Traders are also awaiting details of the US-China trade agreement and confirmation that it will satisfy both US president Donald Trump and his Chinese counterpart Xi Jinping.

Negotiators have agreed on a framework of how to implement the deal reached at talks in Geneva last month.

The main details came from commerce secretary Howard Lutnick, who said: “We do absolutely expect that the topic of rare earth minerals and magnets” will be resolved and that export controls implemented by the US should come down as China approves relevant export licences.

China’s trade representative Li Chenggang said the US and Chinese delegations will now take the proposal back to their respective leaders, with Lutnick noting that “once the presidents approve it, we will then seek to implement it”.

Follow along for live updates throughout the day:

Apple and Android .