FTSE 100 Live: WPP sinks; LSEG, Rolls-Royce bumper buybacks

Good morning and welcome back to the City AM liveblog.

After a few days of tariff-induced risk aversion, the FTSE 100 was back on blistering form on Wednesday, finishing the day’s trading session with a new record.

London’s blue-chip index soared over one per cent to seal yet another record close at 10,806.41p.

This was led by a steaming rally from the City’s most valuable stock HSBC, rising eight per cent after its update provided more than enough to enthuse investors despite a profit miss.

Shortly behind was Metlen Energy, which advanced after inking a deal with shell and miner Fresnillo on the glistening price of gold.

“There seems no stopping the FTSE 100,” said Chris Beauchamp chief market analyst at IG.

“Another week like this and the index will top 11,000, just weeks after it first crossed the magic 10,000 level.

“It has the winning combination for investors right now – a lower valuation than pricey US markets, and key sectors driving that are much less vulnerable to AI-driven panic selloffs.”

Even a staggering 12 per cent fall at spirits maker Diageo couldn’t bring the blue-chips down, after the firm recorded a major miss in sales and slashed its dividend in the first results for new chief executive ‘Drastic’ Dave.

Will the FTSE 100’s momentum help its record run?

We’ll be bringing you the top stories of the morning.

In the meantime, here’s a few of our top stories from yesterday:

• Gucci sparks backlash with AI-generated ads ahead of fashion week
• Sheffield Wednesday: New buyers sought after £40m takeover collapses
• IForex shares lift after trading platform makes London Stock Exchange debut
• Women in their forties driven January pension contribution surge
• Revolut investors eye $100bn price tag in push for new share sale
• John Lewis blames high costs as it axes build-to-rent venture
• Microsoft hops on Lizzie line in search for new London HQ