On a hugely important nonfarm Friday, the European markets found themselves heading towards a basket of new highs.
As was the case earlier in the week, the FTSE 100’s mining stocks “did the UK index a solid”, according to Connor Campbell, financial analyst at Spreadex, propelling it to a pandemic peak thanks to all-time highs from iron ore and copper.
Adding another 35 points, the FTSE 100 is trading at 7,100, a price it last saw in late-February 2020. It is a sign of just how stark that month’s losses were, however, that the index still has 300-plus points to go before it has recovered all of its initial pandemic-plunge.
“The FTSE could’ve been even higher if the pound wasn’t also rebounding after yesterday’s Bank of England rollercoaster, adding 0.3% against the dollar and 0.1% against the euro,” said Campbell.
Over in the Eurozone the situation was similarly celebratory. The CAC continued to push beyond 6,330 as it added 0.3%, while the DAX was back above 15,300 for the first time in over a week following a 0.9% surge.
FTSE Top Movers
Melrose Industries (2.47%), Rolls-Royce (2.54%) and Anglo American (2.21%) were the top risers on the FTSE 100 at mid-morning.
While Antofagasta (-1.58%), BT Group (-1.24%) and Just Eat (-1.23%) are the biggest fallers on the index on Friday.
Copper
Copper hit a record high on Thursday as demand for the commodity soared on the back of a five-day holiday in China.
The copper composite nearly made it to $4.6, while copper for delivery in July was up 1.71% yesterday, with futures at $4.6 per pound ($10,123 a tonne) on the Comex market in New York.
Iron Ore
Iron ore reached its highest ever point on Thursday thanks to strong demand for steel in China. On Thursday, the benchmark S&P Global Platts IODEX, the spot price of 62% iron-fines delivered to China, was assessed at a record high of $202.65 per dry metric ton.
It trades up by about 27% from the price at the end of 2020, according to data from S&P Global Platts. “Appetite for steel has been far beyond expectations as China returned to work, helping iron ore fly past this historic milestone,” said Julien Hall, director of Asia metals price reporting at S&P Global Platts.
