LONDON: London’s FTSE 100 ended higher on Thursday, marking its best session in nearly two months, as gains in energy stocks and positive corporate updates helped investors look past concerns over rising Covid-19 infections in the UK.
The FTSE 100 climbed 1.25%, starting the second half of the year on a strong note, with heavyweight energy stocks and bank stocks leading the gains.
JD Sports Fashion gained 5.4% and was the index’s top gainer, after Britain’s biggest sportswear retailer said it will split long-time boss Peter Cowgill’s role as executive chairman and recruit a chief executive over the next year.
Meanwhile, food and clothing retailer Associated British Foods Plc rose 4.8% to post its best session in over four months, after third-quarter sales at its Primark fashion stores, which reopened after Covid-19 lockdowns, came in ahead of expectations in all markets.
The FTSE 100 has gained 10.3% so far this year, helped by support from cheap interest rates and government stimulus. However, it has largely underperformed the wider European market as a recent jump in coronavirus cases raised concerns about the pace of economic recovery.
Travel stocks gained 2.6%, as Prime Minister Boris Johnson said he was confident Britons fully vaccinated against Covid-19 would be able to travel abroad this year.
The domestically focussed mid-cap index added 1.1%.
Among stocks, Royal Dutch Shell gained 2.9% on plans to leave Aera, its California-based oil and gas-producing joint venture with Exxon Mobil Corp, four people familiar with the talks told Reuters.
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