Advertisement
UK markets closed
  • FTSE 100

    7,952.62
    +20.64 (+0.26%)
     
  • FTSE 250

    19,884.73
    +74.07 (+0.37%)
     
  • AIM

    743.26
    +1.15 (+0.15%)
     
  • GBP/EUR

    1.1709
    +0.0016 (+0.13%)
     
  • GBP/USD

    1.2626
    +0.0004 (+0.03%)
     
  • Bitcoin GBP

    55,369.96
    -377.30 (-0.68%)
     
  • CMC Crypto 200

    885.54
    0.00 (0.00%)
     
  • S&P 500

    5,254.35
    +5.86 (+0.11%)
     
  • DOW

    39,807.37
    +47.29 (+0.12%)
     
  • CRUDE OIL

    83.11
    -0.06 (-0.07%)
     
  • GOLD FUTURES

    2,254.80
    +16.40 (+0.73%)
     
  • NIKKEI 225

    40,369.44
    +201.37 (+0.50%)
     
  • HANG SENG

    16,541.42
    +148.58 (+0.91%)
     
  • DAX

    18,492.49
    +15.40 (+0.08%)
     
  • CAC 40

    8,205.81
    +1.00 (+0.01%)
     

Drugmakers help lift British blue-chip index to best day in almost three months

FILE PHOTO: The London Stock Exchange Group offices are seen in the City of London, Britain

By Sagarika Jaisinghani and Ambar Warrick

(Reuters) - Britain's blue-chip FTSE 100 index bounced off a near four-month low on Monday as Astrazeneca and GlaxoSmithKline rose on news about their respective COVID-19 vaccines, while a weaker pound helped exporters.

The FTSE 100 <.FTSE> ended 2.4% higher after a three-week losing streak, with Astrazeneca's <AZN.L> stock move providing the biggest boost to the index as the British drugmaker struck a deal with Australia's CSL <CSL.AX> to manufacture its coronavirus vaccine.

Meanwhile, GlaxoSmithKline <GSK.L> also rose on new details on the pricing of its vaccine.

ADVERTISEMENT

Britain's domestically-focussed FTSE 250 <.FTMC> rose for the first time in three sessions, up 1.7%, after a U.S.-technology rout spread into other sectors last week. [.N]

Still, trading volumes were muted on account of a U.S. market holiday.

British stocks sank further from pre-pandemic highs last week, as doubts persisted over an economic recovery.

The pound <GBP=> fell sharply after Britain warned the European Union that it could effectively override the divorce deal it signed unless the bloc agrees to a free trade deal by Oct. 15.

"The probability of a deal seems to be reducing with state aid the surprising current sticking point ... This has certainly raised the stakes at a fraught time in talks," Deutsche Bank strategist Jim Reid said.

The sterling's weakness helped major resource exporters, with BP <BP.L> and Rio Tinto <RIO.L> among the other stocks whose weightings on the FTSE 100 helped lift the index.

Shares of homebuilders <.FTNMX3720> jumped 2.3% after data showed British house prices hit a record high in August, adding to signs of a post-lockdown housing market boom.

And Associated British Foods <ABF.L> rose 0.5% after saying trading in its latest quarter exceeded expectations.

(Reporting by Sagarika Jaisinghani in Bengaluru; Editing by Subhranshu Sahu and Alexander Smith)