(London) The FTSE 100, the main index of the London Stock Exchange, rose above the 8,000 point mark for the first time on Wednesday, as inflation slowed in the United Kingdom raising hopes of less monetary tightening by the bank. central.
The London place gained 0.56%, to 7997.13 points, at 11 a.m. (Eastern time), a few minutes after climbing to 8003.65 points.
The flagship index of the British capital, made up of very international companies, has broken record after record for a few days, despite fears weighing on a British economy promised to recession.
UK inflation slowed to 10.1% in January year on year, from 10.5% in December, and after peaking at over 11% in October.
This decline is prompting investors to reassess their expectations of interest rate tightening by the Bank of England, which could end its rate-tightening cycle sooner than expected, which would generate more favorable investment conditions for the United Kingdom.
The pound fell sharply on Wednesday (-1.36% to $1.2011 around 11:05 a.m. EST) in response to data on inflation and rate expectations.
‘A combination of a notable decline in the consumer price index in January and a weaker pound is boosting consumer sector stocks, although Barclays’ stock’ is down sharply after disappointing results , commented CMC Markets analyst Michael Hewson.