Business Irish

Tuesday 20 August 2019

FTSE 100 at new high as ISEQ rises

In Dublin, the ISEQ index of Irish shares rose 0.3pc to close at 6509.45 – with insurer FBD up 6pc and Bank of Ireland up more than 2.5pc. Stock photo
In Dublin, the ISEQ index of Irish shares rose 0.3pc to close at 6509.45 – with insurer FBD up 6pc and Bank of Ireland up more than 2.5pc. Stock photo

Bloomberg/Gavin McLoughlin

The FTSE 100 closed at another record high yesterday, as British and Irish stocks bucked European trends.

London's blue chip index rose 0.2pc to break the record set on Wednesday. It's heading for one of the biggest annual gains among Western European markets in 2016, up 14pc. Germany's DAX Index has risen 6.6pc and France's CAC 40 Index is up 4.4pc.

In Dublin, the ISEQ index of Irish shares rose 0.3pc to close at 6509.45 - with insurer FBD up 6pc and Bank of Ireland up more than 2.5pc. Aryzta lost 2pc. The ISEQ is set for an annual decline - down about 4.3pc year to date. It'll mark the worst annual performance since the bailout.

European stocks faltered as investors proved unwilling to sustain a rally that's lifted equities close to a one-year high.

The Stoxx Europe 600 Index fell 0.4pc, with trading volume less than half the 30-day average.

"Equities are on the back foot," Mike van Dulken, head of research at Accendo Markets in London, wrote in a note.

Investors are "taking profits and some risk off the table," he said.

The dollar dropped the most in two weeks while oil retreated from its highest close in 17 months as investors prepared to close out a volatile year for financial markets.

In morning trading in New York, crude oil slipped for the first time in nine days, halting the longest rally since 2010. Gold extended gains, as did copper.

Trading has been thin across the globe during the last week of the year, with volumes in crude oil, equities and currencies all below average.

Investors may be reallocating money as they assess post-US election asset moves that took the dollar to multi-year highs, and drove US stocks to records.

Irish Independent

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