London’s FTSE 100 beats record to hit all-time high in ‘surprising’ rally
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The UK’s FTSE 100 has reached its highest ever level following a rally for the index helped by miners and housebuilders amid rising hopes of further interest rate cuts. London’s top index surpassed the previous record of 8,474.41 set in May last year.
It surged more than 1% shortly after markets opened on Friday morning to a high of 8,480.57. Most stocks were moving higher – with miners Antofagasta, Glencore and Anglo American, and housebuilders Persimmon, Taylor Wimpey and Barratt Redrow among the biggest risers.
Richard Hunter, head of markets at Interactive Investor, said the rally came as a surprise on Friday morning. He said: “US markets faltered after a blowout session the previous day, while the surprising upstart came in the form of the FTSE 100, which has set the early pace and blew past its previous record high in opening trade.
“The housebuilders were also strong, given a combination of potentially lowering interest rates and some recent updates which have shown robust forward order books, with rises of 2% or more for the likes of Persimmon, Taylor Wimpey, Barratt Redrow and Berkeley Group.
“The FTSE 100 is now ahead by 3.5% this year, and marginally ahead of the previous record level set last May.”. A string of key economic data published in recent days has helped boost chances of an interest rate cut when the Bank of England next decides in February.
