Britain's main stock indexes joined the rise in global shares on Wednesday following the election of Republican Donald Trump as US president, ending weeks of uncertainty for markets.
The FTSE 100 index rose 1.3%, on course for its biggest one-day percentage rise in three months, while the FTSE 250 midcap index jumped 1.4%, on track to have his best day in more than six weeks.
Trump was elected president, capping a remarkable comeback four years after being ousted from the White House and ushering in new American leadership likely to test democratic institutions at home and relations abroad.
U.S. markets jumped on expectations of easing regulations and lower U.S. corporate taxes, but expectations of higher tariffs under a Trump presidency sent them tumbling the euro.
“The impact of higher inflation on corporate profit margins, and how interest rates may not fall as quickly as expected, are real risks that investors need to consider once the “The dust will have settled,” said Russ Mould, chief investment officer at AJ Bell.
Among individual stocks, Ashtead jumped 6.3% on expectations that a Trump victory would benefit the second-largest equipment rental company in the United States.
Ferrexpo Plc, a Ukraine-focused company that operates three iron ore mines and an iron ore pellet production facility in that country, jumped 23% on hopes that Mr. Trump could help bring end to the conflict between Ukraine and Russia.
Shares in Marks & Spencer rose 6.3% as the retailer forecast “further progress” for the remainder of its financial year after reporting a bigger-than-expected 17.2% rise in first-half profit.
Persimmon fell 6.1% after the housebuilder said sales rates since the start of the third quarter were well ahead of last year, but raised concerns about the increase costs in 2025.
