A weaker pound boosted Britain’s biggest listed companies today after MPs voted against an extension to Article 50 , and supported the Prime Minister’s plan B for Brexit.
The FTSE 100 rose 1.58 per cent to 6,941.63 as its many exporters saw an increase in investor confidence.
The rise was also largely helped by a boost to the exchange’s miners, as the FTSE 350 mining index grew 2.11 per cent, with all but two miners up. This came as Brazilian Vale, the world’s largest iron producer, said it would cut production by 10 per cent after a dam collapse left over 80 people dead.
Anglo American, up 2.57 per cent, Glencore, up 2.76 per cent, and BHP, which increased by 2.60 per cent, vied for top spot amid mining gains.
British American Tobacco, which earns much of its revenue in dollars, showed strong growth after it was upgraded by analysts, topping tables at 4.86 per cent.
“The FTSE led the charge higher with triple digit gains, after the pound sunk one per cent overnight following the Brexit vote in parliament. Although the pound had clawed back most of those losses by midday,” said Fiona Cincotta, a senior analyst at City Index.
“As usual the multinationals on the FTSE, which also book revenue in dollars, were faring well, whilst the more domestically focused firms lagged behind.”
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British American Tobacco
On the fallers side, Hargreaves Lansdown had another day to be forgotten, falling a further 2.61 per cent after yesterday's 6.3 per cent drop as new business fell by a quarter after Brexit hit investor confidence.
Auto Trader dropper further today after Peel Hunt downgraded the company last week.
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