FTSE 250 hits new record high as trade talks move welcomed
The FTSE 250 hit another record high and the FTSE 100 jumped nearly 200 points on Monday, as traders welcomed the signing of the first stage in trade talks between the US and China.
By mid-afternoon, the FTSE 250, which is primarily made up of UK-focused businesses which enjoyed a boost from the election result, was up 1.8% at 21893 – beating the previous record high that was set on Friday.
The FTSE 100 was also up, at a four-and-a-half month high, gaining 2.45%, or 180.39 points, at 7533.83.
It too had risen significantly on Friday following the election result, although this was tempered by the pound also rising against the dollar.
Joshua Mahony, senior market analyst at IG, said: “UK markets are surging higher once again today, with positive sentiment over an impending US-China trade deal continuing to help drive stocks higher.”
The so-called phase one agreement was agreed on Friday, and includes elements dealing with intellectual property protections, technology, currency and financial services.
Every company on the FTSE 100 saw shares rise, except for US-focused publisher Pearson, and on the FTSE 250 Sports Direct led the way, with shares up more than 30% following strong results.