Footsie gives up most of the day’s progress

The pound continued its recent rally, holding back the FTSE 100 from rebounding quite as quickly as markets elsewhere in Europe.

Traders remained in a positive mood after Thursday’s commitments from central banks in Europe to keep economies ticking over.

The index closed 39.17 points higher at 5,190.78.

David Madden, market analyst at CMC Market UK, said: “The FTSE 100 has underperformed versus its continental counterparts as the rally in the pound is holding the index back.

“The international nature of the British equity benchmark means that some stocks are hurt by a firmer pound because of the exposure to overseas markets.

“Central banks and Government have been throwing money at the health crisis and it seems that some of it is starting to stick, which is why stocks are firmly higher.”

Banking stocks had a poor showing, with the likes of Lloyds and Barclays pressing down on the FTSE 100.

However, travel and leisure stocks rebounded as traders looked to make corrections for heavy sell-offs earlier in the week.

Marks & Spencer saw shares tumble after it froze all pay rises and suspended all spending not seen as absolutely essential as it warned that its clothing and home lines would take a severe hit from the coronavirus pandemic.

The retailer warned that profit is likely to be at the lower end of its expectations, even as it massively slashed spending.

Shares in the high street giant fell by 8.2p to 107.8p at the close of trading.