UK Markets Surge Amid Economic Resilience and Financial Gains

The UK's benchmark index reached a new peak, boosted by robust financial earnings and positive regional economic data. The FTSE 100 rose, with banks and investment firms leading gains, while precious metal miners and luxury brands experienced setbacks. Sterling fell slightly against the dollar following the economic data release.

The UK's key financial index reached an unprecedented high on Thursday, highlighted by strong financial earnings and promising regional data that highlighted the economy's resilience.

The FTSE 100, a blue-chip stock index, rose by 0.45% by 1028 GMT, while the mid-cap index gained 0.7%, marking a four-year high. This growth was supported by a 0.3% increase in the UK's economy in November, spurred by the revival of full production at Jaguar Land Rover after a cyberattack.

Despite sterling's slight decrease against the dollar post-data release, the outlook for policy rates remains largely unaffected with anticipated Bank of England rate cuts. Financial giants like Ashmore Group and Schroders drove the FTSE 250 and FTSE 100 upwards, respectively. However, precious metal miners and luxury fashion brands like Burberry experienced declines. Meanwhile, homeware retailer Dunelm and Oxford Biomedica faced contrasting financial prospects.

(With inputs from agencies.)