FTSE Gains But Pound Falters

Share

The FTSE 100 stumbled to a record close yesterday after the wind was knocked out of the pound's sails by solid USA job figures and a closely watched economic survey across the Atlantic hitting a 12-year high.

The blue chip index ended the day up by just 0.07% but was enough to break the record high for the second time in a month. The UK's leading index inched up by 5.06 points, to close at a new all time high of 7,560.35.

Since numerous firms in the index are multinationals with revenues in foreign currencies, a weaker sterling tends to support profits and valuations.

One analyst says further gains are likely with the "upward trend" in tact after the Bank of England raised the interest rate.

"Cash savers might still be waiting for the latest interest rate rise to feed through into their bank accounts, but stock market investors continue to reap the rewards of loose monetary policy and an improving global economy", said Laith Khalaf of Hargreaves Lansdown.

The central bank warned that Brexit uncertainties were still weighing on domestic activity and that any future hikes would be at a "gradual pace and to a limited extent".

The FTSE 250 also ended the day with a record high of 20,472.38 points - up 0.43%.

A reading above 50 is an indicator of growth.

Sterling had been beginning to claw back some of Thursday's 1.6pc plunge against the dollar in early trade following an expectations-beating services PMI reading but its momentum versus the greenback was halted by economics figures from the United States indicating a tight labour market and continuing growth momentum. However, the index itself only mustered a 0.07 per cent rise.

The biggest risers on the FTSE 100 were NMC Health up 127p to 3,089p, Johnson Matthey up 93p at 3,503p, Coca-Cola HBC up 70p at 2,638p, and Kingfisher up 7.5p at 317.1p.

Share

Advertisement

Related Posts

Blackbaud, Inc. (BLKB) Receives New Coverage from Analysts at Dougherty & Co
Shares for $990,227 were sold by WILENSKY GAIL R. $913,211 worth of stock was sold by BALLARD WILLIAM C JR on Wednesday, June 7. With 193,800 avg volume, 29 days are for Blackbaud Incorporated (NASDAQ: BLKB)'s short sellers to cover BLKB's short positions.

Julianna Margulies details 'horrific' encounter with Steven Seagal
When Margulies arrived to the hotel around 10:40 p.m., the casting director wasn't there, but the Under Siege actor, 65, was. And I turned to see what she had done to deserve that, and I caught her in a shrug, like 'What could I do?'" Margulies said.

Second Libyan militant charged in 2012 Benghazi attacks appears in USA court
He was charged with three felony offenses, two of which carry a maximum sentence of life imprisonment. Al-Imam is the second suspect in the attacks to have been captured by the USA and brought to court.

CH Robinson Worldwide Inc's (NASDAQ:CHRW) Sentiment is 1.24
Currently, the stock carries a price to earnings ratio of 14.7, a price to book ratio of 2.75, and a price to sales ratio of 0.57. The transportation company reported $0.85 earnings per share for the quarter, beating the consensus estimate of $0.82 by $0.03.

Pemex makes Mexico's biggest onshore oil find in 15 years: president
Mexico is counting on an energy reform approved in 2013 to help revive the ailing industry and the state-owned oil company. The onshore field's original volume in place is estimated at 1.5 billion barrels of oil equivalent.

Typhoon Damrey hits Vietnam with deadly force
One person was killed and four others reported missing in the provinces of Binh Dinh and Phu Yen, disaster officials there said. Last month, scores of people were killed when a tropical storm hit several of Vietnams's northern and central provinces.

Sentiment Change Report: Alaska Air Group Inc (NYSE:ALK)
Looking at some alternate time periods, the 12 month price index is 2.18378, the 24 month is 0.70528, and the 36 month is 1.17852. The EPS or earnings per share ratio shows the amount of company earnings that can be attributed to every share that is held.

Cahil to join Socceroos team-mates in Honduras
Cahill netted a double in last month's second leg against Syria to ensure Australia qualified from the Asian playoff. Five minutes later, he collapsed on the pitch, signalling to the City bench that his night was over.

Gator Removals At Disney Rise After Toddler's Death
There are so many alligators around the popular resort in Orlando that it could easily create its own gator farm. Disney World is a massive resort complex that includes several theme parks, water parks, hotels and golf courses.

How to Watch Virginia Tech vs
Both Virginia Tech (7-1, 3-1 ACC ) and Miami (7-0, 5-0) have first-year starters at quarterback, and both have been successful. The under, meanwhile, is 6-1 in the last seven meetings in Miami and 10-4 in the last 14 meetings overall.

© 2015 ExpressNewsline. All Rights reserved.