UK’s blue-chip index continues its rally after surging 14% in 2021

Bengaluru — The UK’s FTSE 100 rose on Tuesday in the first trading session of the year after its best yearly gain in five years after signs that the Omicron coronavirus variant is less likely to derail the global economic recovery.

The blue-chip FTSE 100 gained 1.1% at 0805 GMT, hitting new highs since February 2020, while the domestically focused mid-cap index advanced 1.2%. Financials led gains, with banking and life insurance stocks adding 1.9% and 0.9%, respectively.

The FTSE 100 gained 14.3% in 2021, recording its best annual performance since 2016, helped by gains in commodity-linked and industrial stocks. British retailers gained 2.4%, tracking global sentiment, even though footfall in shops in the days after Christmas was 24.5% lower than the same week in 2019, Springboard analysts said.

The focus later in the day will be on key consumer credit, mortgage and manufacturing data.

Amigo Holdings fell 3.1% after the sub-prime lender revealed the early redemption of £184.1m worth of senior notes due in 2024, as part of a new rescue plan laid out last month.

Reuters