** Shares in UK betting companies Flutter Entertainment and Entain spike higher; up 9% and 4.1% respectively; topping FTSE 350

** Traders point to WSJ report that U.S. lawmakers are to introduce bipartisan bill banning sports bets on prediction markets

** "It is fear of increased competition from prediction markets that has pushed prices down in recent times," said Greg Johnson, leisure equity analyst at Shore Capital.

**Flutter Entertainment remains down 47% year to date, while Entain has shed 26%, as prediction market platforms have surged in popularity

** "Any change to the regulatory environment that could see prediction markets be blocked for sports betting would clearly be seen as a positive for shares," Shore's Johnson said.