On Thursday, there were plenty of Christmas cheer in the City as the blue-chip index of Britain rose to an all-time high.
The FTSE 100 surpassed the 7,600 mark for the first time, closing up to 1.1 percent at 7,603.98.
The chief market analyst at XTB Limited, David Cheetham, stated: “The FTSE 100 has rallied strongly today moving above its previous record peak set back in June to post a new all-time high.”
Cheetham suggested that “favourable seasonality effects” possibly played an important role in raising the stock index.
Energy and mining stocks including BHP Billiton, Glencore, Shell, and BP made gains, while large-cap housebuilders such as Berkeley Group, Persimmon, Taylor Wimpey, and Barratt Development edged lower following the revelation of the government of new rules that crack down on leasehold practices that are described by Sajid Javid, the communities secretary, as “feudal.”
Cheetham continued: “December has been the second-best month for UK stock market bulls in the past decade, and the FTSE has enjoyed a strong run higher heading into the Christmas break.
“The much-discussed Santa Rally could still be to come and from a technical point of view a clean break higher after a fairly long period of consolidation paves the way for significant upside ahead.”