Wed City brief: FTSE100 hits another high
London soared to another all-time high today on the back of weak economic figures from China which raised hopes of further stimulus from Beijing.
Chinese economic growth slowed to a six-year low, putting pressure on policymakers to introduce new measures.
The FTSE100 closed up 21.52 points, or 0.3%, at 7,096.78 points, after rising to a new high at 7,111.72 pts, surpassing the previous intraday all-time high of 7,095.36 last Friday.
GDP in China expanded at an annual rate of 7% in the first quarter of 2015, in line with estimates but down from 7.4% growth in the fourth quarter. This was the slowest rate of expansion since 2009 on the back of weakness in the property and manufacturing sectors.
Miners benefited from today’s data while retailers were also in positive territory.
Dixons Carphone, the electricals and mobile phone retailer, was up 2% after German mobile telephone company Drillisch agreed to buy the company’s chain of telecoms shops, The Phone House Deutschland, in a cash and shares deal.
Fashion chain Next rose 2.5% on a broker’s recommendation ahead of the company’s update on 29 April.
High end fashion label Burberry said there was strong demand for its heritage trench coats and scarves which helped second-half revenues rise 9%.