Written by Advies Wealth 27/04/2021
London’s blue-chip index came under pressure on 26/4 due to a weaker oil prices and a stronger pound. However comments made by Ursula von der Leyen saw travel stocks soar during the session.
The European Commission President indicated European destinations would be open for vaccinated Americans, sending British Airways owner IAG and jet engine maker Rolls Royce higher. The FTSE 250 index strengthened 0.9 per cent. The mid-cap index closed up 205 points, to 22,577.
BP and Royal Dutch Shell fell due to the lower crude oil prices and were among the biggest drags to the index. However the price of Copper hit the highest in over a decade, causing the mining index to rise along with Chilean mining giant Antofagasta gained 4.3%.
The FTSE 100 has gained 7.3 per cent year-to-date as encouraging economic data on the back of speedy Covid-19 vaccinations and constant policy support from the government lifted optimism about a stronger economic recovery.
The UK has now vaccinated more than 33 million with their first dose, the vaccines programme in Europe also appears to be gathering pace, but markets have been concerned about the devastating surge in India which has been concerning investors.
Markets are wary both of the impact on the Indian economy and supplies from the country, but also the potential for new variants to spread from the enormous population there. India is currently registering over 300,000 new cases per day along with over 2000 confirmed deaths a day.