Footsie gains again to hit record high

Market report Perry Gourley

The FTSE 100 hit its third record high in just one week, with stocks buoyed by signs of continued improvement in the trading relationship between the US and China.

London’s blue-chip index ended the day up 18.28 points at 7,877.45 points, marking a fresh all-time high.

It pushed past Monday’s record of 7,859.17 points, having closed above 7,800 points for the first time.

The FTSE 100’s previous high was logged just last Thursday.

Donald Tosh, senior investment manager for Brewin Dolphin in Glasgow, said:“markets don’t go up in straight lines, but the line from 22 March is as straight as I can remember. A cooling-off period would help, but then again, a few deals lurking in the background remind us of the opportunities which lie ahead. Indeed, the Ocado-kroger deal is exactly the sort of story that drives irrational behaviour. So, in the meantime, I feel that the safe option is to seek out high-return businesses and stick with them, as they will see me right in the longer term.”

Marks & Spencer dropped to the bottom of the FTSE 100 after the retailer said it was going to close 100 stores by 2020.

Traders took a poor view of the company’s prospects, sending shares down 8.6p to 291.8p.

Whitbread’s shares closed up 49p at 4,233p as a report said the company’s Costa Coffee chain is being circled by a clutch of private equity firms, opening the door to a potential £3 billion sale.

Topps Tiles’ shares rose 2.2p to 71.2p despite the group reporting a fall in half-year profits. Bloomsbury posted a solid rise in sales and profits last year as chef Tom Kerridge’s new cookery book and Harry Potter boosted the publisher. The car parts and cycle retailer posted lower profits after being forced to stomach rising costs linked to the Brexit-hit pound in the year to 30 March.