Brexit speech news further boosts FTSE

Market report Emma Newlands

London’s top-flight index notched up its 11th consecutive record close as sterling dipped on news that Prime Minister Theresa May will deliver a major Brexit speech next week.

The FTSE 100 rose by 1.88 points to 7,292.37 to edge past the previous session’s all-time closing high of 7,290.49.

The blue-chip index pushed higher during the final minutes of trading on the back of a weaker pound, which tends to benefit multinational firms on the FTSE 100.

Sterling fell after it was confirmed that May will make a major speech on Brexit on Tuesday. The pound was down 0.1 per cent against the dollar at $1.219 following the news, after rising as much as 0.5 per cent in early trading. Against the euro, sterling slumped 0.7 per cent to €1.145.

Meanwhile, British retailers took the spotlight amid a wave of trading updates. Marks & Spencer shares rose 4.5p to 344.9p as it revealed a 2.3 per cent rise in like-for-like sales in its home and embattled clothing division in the 13 weeks to 31 December, the first growth since the first three months of 2015.

Tesco shares fell 2.75p to 206.05p, despite notching up a 1.5 per cent rise in group thirdquarter sales, while shares in Primark owner Associated British Foods fell 122p to 2,576p after warning that its operating profit margin would decline throughout the year.

The biggest risers on the FTSE 100 included Mondi, up 92p to 1,742p, Smurfit Kappa Group, up 78p to 2,153p and Fresnillo ,up41p to 1,422p. The biggest fallers included Dixons Carphone, down 10.2p to 346.8p, Shire, down 126.5p to 4,555p and Next, down 104p to 4,033p. The group added to the Xmas cheer across the high street as it said annual profits would beat forecasts after “exceptional” trading. Investors gave a cool reception to news of a modest rise in quarterly like-for-like sales at the homewares retailer though margins are set to remain flat.