(Il Sole 24 Ore Radiocor) - Milano, 17 feb - Shares in London closed higher as AI-linked shares recovered from a recent rout and hopes of an interest rate cut in March rose after data showed that the UK's labor market deteriorated.

According to the Office for National Statistics, in October to December, the estimated UK employment rate decreased by 0.1 percentage points to 75.0%, the unemployment rate increased by 0.2 percentage points to 5.2%, and the economic inactivity rate decreased by 0.1 percentage points to 20.8%, compared with July to September.

The data sent the sterling lower against the dollar, boosting multinationals listed on the blue chip index.

AstraZeneca gained 2.39% at 15,522.00 pence while Shell closed 0.05% higher at 2,867.00 pence.

Home builders were also mostly higher on hopes of lower rates.

Persimmon and Barratt added 1.79% at 1,531.50 pence and 3.13% at 385.60 pence, respectively.

The London FTSE 100 closed up 0.79% at 10,556.17 points.

(RADIOCOR) 17-02-26 18:19:45 (0604) 5 NNNN