UK shares push higher on Carney speech

UK shares have risen for a third day, after Bank of England governor Mark Carney hinted at fresh stimulus measures following the Brexit vote.

The FTSE 100 index has opened 0.63% higher, while the FTSE 250 is higher by 0.42%.

On Thursday, Mr Carney said a deteriorating outlook meant action from the Bank was likely this summer.

Wall Street rose for the third straight day on Thursday, with the Dow Jones closing up 1.33% and S&P 500 up 1.36%.

Meanwhile, 10-year UK government bond yields fell to 0.831% and were on course for their biggest weekly fall since November 2011 on the prospect of the Bank of England pumping more money into the economy.

That helped maintain momentum in Asia, where stocks also rose for a third day, as investors bet policymakers will take steps to prevent further market uncertainty following the UK's decision to leave the EU.

The broad-based MSCI Asia Pacific Index rose 0.5%, which brought its gains this week to more than 3%.

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In Tokyo, the benchmark Nikkei 225 closed 0.68% higher, while the Topix gained 0.69%.

South Korea's Kospi rose 0.9% and Australia's S&P/ASX 200 added 0.25%.

In China, the Shanghai Composite closed 0.1% higher.

Hong Kong and Thailand's stock markets are closed for holidays.

Gold, considered a safe haven investment in times of uncertainty, headed for its fifth week of gains, with bullion for immediate delivery trading at $1,322 an ounce.

The pound is currently trading flat against both the euro and the US dollar at $1.33 and €1.199, up from the lows that it hit on Thursday in the immediate aftermath of Mr Carney's speech.

However, sterling remains well below the $1.50 rate it touched on Thursday last week, before the outcome of the referendum became clear.The past week has seen huge swings on the world's financial markets as traders and investors struggled to assess the impact of the UK's Brexit vote.

After two days of heavy falls following the referendum outcome, shares spent two days recovering, and on Wednesday, the FTSE 100 ended above the level it had closed at on Thursday last week.

However, the FTSE 250 index - which contains more UK-focused companies - still remains well below its pre-referendum level.