London Calling! FTSE 100 Stocks Flying High Once Again
Back in 2021, which when looking at a physical calendar does not seem such a long time ago yet feels like an epoch ago when considering the changes in global economies and the capital markets since then, the FTSE 100 Index, which is tradable as UK 100 on FXOpen, was making headlines full of superlatives and enthusiasm as it pushed its way through the 7,000 point mark for the first time ever.
As that happened, investors and analysts alike were experiencing something of a sensory overload with so many exciting dynamics having taken place around the same time, including the notorious meme stock frenzy led by Reddit board groups, which dramatically affected the prices of certain entertainment stocks in the US and a deluge of relatively unheard of firms suddenly listing their stock on the NASDAQ exchange for multi-billion dollar valuations via SPAC entities.
Alongside these headline grabbers was London's FTSE 100 (UK 100 at FXOpen) rallying like never before, which was an interesting backdrop because London-listed firms are often traditional, long-established bricks-and-mortar entities with decades of institutional stability behind them as opposed to the disruptors of the NASDAQ, and not susceptible to volatility caused by the self-styled market makers of the Reddit boards.
It was also at a time during which Britain had been exiting lockdowns, and talks of recession were in the mix, along with the start of rising inflation and a cost of living crisis, which blighted much of British society.
Three years have passed and at certain points during that time, there has been speculation relating to the possibility of the FTSE 100 (UK 100 at FXOpen) index growing further and passing the 8,000 point mark, which only materialised for a short space of time before going back down to within the mid to high 7,000s.
Now is the FTSE 100's (UK 100 at FXOpen) time in the limelight. This morning, the London trading session began with the index flying high, and the news reports during the early hours of the morning (UK time) that the UK 100 index may continue its rally this week.
By 8.30 am UK time this morning, FXOpen pricing showed the UK 100 index at 8,195.4 in just a matter of minutes, an exciting continuation of last week's rally.
Anglo American's stocks surged by 2%, climbing 64p to reach 2707p, as investors eagerly anticipate BHP's forthcoming strategy following the recent dismissal of a £31 billion acquisition offer. Meanwhile, Frasers Group experienced a 2% boost, with shares rising by 19p to 815p. This uptick came on the heels of the retailer's announcement of a fresh buyback initiative. Adding to the positive sentiment, Deutsche Bank commenced coverage of Frasers Group, issuing a "Buy" recommendation and setting a target price of £1.
It is clear that enthusiasm for blue-chip stocks is very much the order of the day, providing an interesting positive direction to Britain's highly respected capital markets sector despite the stagnant domestic economy.
Read more: https://fxopen.com/blog/en/gt-london-calling-ftse-100-stocks-flying-high-once-again/
Text source: Forex Trading Blog
