The FTSE 100 has reached a new record high, closing at 9,928 points with an increase of 28 points, or nearly 0.3%, at the start of trading. This marks a significant moment as it approaches the 10,000-point milestone for the first time. Key contributors to this rise include energy company SSE, which saw an 11% increase following the announcement of a £33 billion investment plan aimed at driving growth. Other notable performers are Games Workshop and Burberry, with respective increases of 4% and 2.7%.
Market analysts have observed that the FTSE 100’s performance, particularly this year, stems from various factors. Dan Coatsworth, head of markets at AJ Bell, noted increased investment from foreign investors seeking to diversify amidst ongoing uncertainties in the US market. The FTSE has benefited from a mix of defensive companies that investors often turn to during economic turmoil. Additionally, a rise in gold prices and increased defense spending from governments have positively impacted UK contractors listed on the index.
In a separate development, the UK pound has depreciated against the US dollar, dipping to $1.3125. This comes amid concerns regarding potential leadership challenges for Prime Minister Keir Starmer following the upcoming budget. Bond yields in the UK have also seen fluctuations, with short and long-term yields rising slightly, indicating market unease about political stability and fiscal policies. Meanwhile, health secretary Wes Streeting has publicly denied rumors of a leadership challenge against Starmer, emphasizing the need for unity within the Labour party at this critical time.
These developments underline the current volatility in UK financial markets as stakeholders strategically position themselves ahead of key economic announcements.
Source: https://www.theguardian.com/business/live/2025/nov/12/softbank-shares-nvidia-sale-ai-valuations-ftse-100-yen-stock-markets-business-live-news