The FTSE 100 traded within touching distance of the highest levels since the beginning of the pandemic on Wednesday as a rally in US tech shares helped lift investor sentiment.
The FTSE 100 trade briefly above 7,600 on Wednesday morning before easing back. The FTSE 100 recorded the highest closing level since the start of the pandemic of 7,611 in mid January.
“The rebound in US shares continued again last night, helping to lift investor confidence and that’s spread across Asia and Europe on Wednesday with another day of markets pushing ahead,” said Russ Mould, investment director at AJ Bell.
“While we’re still some way off reclaiming all the territory lost at the start of the year, the fact that equity markets have stabilised shows that investors still have an appetite for risk, and they are now sifting through the wreckage to see if there are any bargains to be had.”
Vodafone was one of the FTSE 100 top risers after they posted a 4.3% increase in revenue in their third quarter. Vodafone also hinted at the potential for further acquisitions by saying their was scope for ‘proactive portfolio actions’.
“Speculation surrounding a deal with Three and a fresh tie up in Italy is set to intensify with this update, given Vodafone has reiterated its commitment to ‘proactive portfolio actions’ to try and keep shareholders happier,” said Susannah Streeter, senior investment and markets analyst, Hargreaves Lansdown.
“There is some relief that Omicron has not disrupted lucrative roaming fees too badly, with the company posting a 2.7% growth in service revenue. The fact the company is on track for the full year is also reassuring, and the door seems wide open to future deals.”
Ocado was the FTSE 100’s top riser after the company’s shares received an upgrade from analysts at Credit Suisse.