The FTSE 100 edged higher on Friday, marking its longest run of consecutive daily gains since 2019, after official data revealed that warmer weather had given an unexpected boost to retail sales across the UK in March.
London’s blue-chip index closed the day eight points up at 8,415, a modest rise of 0.1%, extending its winning streak to 10 sessions. The rally was supported by better-than-expected retail sales data, which provided a rare dose of optimism for investors.
Figures from the Office for National Statistics (ONS) showed that the quantity of goods bought in shops and online increased by 0.4% in March, following a 0.7% rise in February. Analysts had largely expected a decline of 0.4%, making Friday’s figures a welcome surprise.
The data pointed to strong performances in fashion and garden centres, with the ONS noting that the sunny weather in March had encouraged more consumers to venture outdoors and spend.
Retailers have now enjoyed three consecutive months of sales growth, with January seeing a 1.4% rise. This trend marks a much-needed brighter start to the year for the retail sector, which had been grappling with the effects of high inflation and cautious consumer spending.
Elsewhere in Europe, stock markets also enjoyed positive momentum. Germany’s Dax climbed 0.8%, while France’s Cac 40 rose 0.5%, signalling broader investor optimism across the continent.
Across the Atlantic, Wall Street delivered mixed signals after UK markets closed. The S&P 500 inched up by 0.3%, but the Dow Jones Industrial Average slipped by 0.2%, reflecting cautious trading ahead of key corporate earnings announcements.
In currency markets, sterling ticked up 0.024% against the dollar to reach 1.3329. However, it edged down 0.038% against the euro, sitting at 1.1715 by the close of London trading.
In corporate news, gambling group Evoke, which owns well-known brands William Hill, 888, and Mr Green, reported a 1% year-on-year rise in group revenues to £437 million for the three months to 31 March. The update came despite a slight 1% fall in revenues from its UK and Ireland online operations, where the company said enhanced safer gambling measures had dented both gaming and sports betting performance.
Nevertheless, shares in Evoke nudged up by 0.31% following the announcement, as investors appeared reassured by the group’s overall resilience.
Among the individual winners on the FTSE 100, Melrose Industries led the pack, gaining 15.6p to finish at 429.4p. Entain, the owner of Ladbrokes and Coral, added 19.2p to 588.2p, while aerospace and defence giant Rolls-Royce advanced 20.2p to close at 755.4p.
More Read
Utility firm Centrica rose by 3.75p to 157.35p, and wealth management business St James’s Place climbed 21.4p to end the day at 952.6p.
On the downside, consumer goods giant Unilever was the biggest drag on the index, slipping 106p to 4685p after disappointing earnings guidance. High street favourite Marks & Spencer also lost ground, dropping 8.5p to 386p. Fresnillo, the precious metals miner, declined 21.5p to 982.5p, while educational publisher Pearson fell 23.5p to 1152p. Insurer Hiscox rounded off the list of notable fallers, down 22p to 1104p.
Despite the mixed bag of company updates, the FTSE 100’s ability to notch up a tenth straight day of gains underlines growing investor confidence in the UK market, bolstered by a combination of resilient corporate results and encouraging economic data.
Whether this momentum can be sustained in the coming weeks remains to be seen, particularly with global economic uncertainties and upcoming interest rate decisions. For now, however, London’s flagship index appears to have found its spring in its step once again.
