Indices

FTSE100 Advances As The Weight On Pound Rises

FTSE100-Advances-As-The-Weight-On-Pound-Rises

On Wednesday, UK’s FTSE 100 gained significant strength after the currency Pound gets weaker, posing major advantage to exporters. However, London’s mid-cap was capped by consumer stocks fall as fears for further social activity restrictions firmed.

The blue-chip index settled 1.4% up, with major companies having overseas revenues like Unilever & British American Tobacco performing best on the market. FTSE mid-cap closed the day 0.2% down, with Restaurants Group Private Ltd. Co. and Marston Plc falling between 8% and 11% on closing. Domestic travel & leisure indices slipped 1.4%.

FTSE 100 was supported by weaker Pound sterling, making it cheaper for other nations to buy Britain goods, thus giving a notable boost to the exporters. The UK’s quid fell due to the nation’s uncertainty on BREXIT talks.

FTSE mid-cap held back as UK PM Boris Johnson posting new, further restrictions on social meetings and gatherings to fight with the coronavirus pandemic, weighing high on consumer stocks in the market.

Both the United Kingdom vaccine developing firms, AstraZeneca & Glaxosmithkline, gained at the closing, rising 0.50% and 2.7% respectively. Meanwhile, the pharma giant, AstraZeneca, earlier reported that it has halted its vaccine trial after a patient in the UK encountered illness. However, the gains were back as the company posted to resume tests next week.

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