FTSE 100 ends week on high despite dire predictions over energy bills

The FTSE 100 closed on a high despite a series of doomsday energy price cap predictions casting a shadow over the week.

Double-digit share price jumps for entertainment group Flutter and packaging company Mondi helped push the FTSE 100 into the green yesterday.

London-listed pharma giant GSK and health consumer brand Haleon also saw shares stabilise after billions were wiped off the share price on Thursday.

Energy price cap models have edged progressively higher throughout the week, with UK energy bills expected to hit £5,300 in April, but the warnings have had little bearing on European markets.

The London index closed 34.98 points higher, or 0.47%, at 7,500.89.

“Despite the slow drip feed of negative headlines of rising gas prices, and the supply chain challenges thrown up by the heatwave in Europe, there’s been little appetite to drive stocks lower,” Michael Hewson, chief market analyst at CMC Markets, said.

The German Dax index rose 0.79% and the French Cac was up 0.25% when markets closed.

The pound was up 0.1% against the dollar at 1.2131 and marginally down by 0.01% against the euro at 1.1826.

Shares in Flutter grew by more than 13% to 10,705p, despite the company, which owns Paddy Power and Betfair, reporting pre-tax losses of £51 million during the first half of the year.

William Hill owner 888 posted a 13% drop in revenue to £332 million in the first six months of 2022, leading to shares in the company falling by 12% to 142.7p.

Pharma giant GSK saw a moderate lift in its share price, a day after market speculation around litigation over heartburn drug Zantac sent shares sliding.

The company issued a statement yesterday rejecting allegations Zantac increases the risk of cancer.

Investors reacted to the statement and shares went back up yesterday, lifting 50p to 1,450p.

The price of Brent crude oil dipped by 1.53% to $98.07 a barrel when the London markets closed.

There’s been little appetite to drive stocks lower