The FTSE 100 was range-bound on Monday as investors navigated geopolitical risks and rising worries about another US government shutdown.
London’s leading index was trading three points higher at 10,146 at the time of writing after trading in a range between 10,170 and 10,127 in early trade.
The FTSE 100’s weighting towards precious metals and defensive sectors helped it outperform European indices as the gold price broke to fresh record highs above $5,000 per oz buoyed by fresh concerns about a US government shutdown.
“There may not be any big geopolitical news to rival last week’s Greenland drama, but internal tensions in the US are helping to keep precious metals prices elevated,” said AJ Bell investment director Russ Mould.
“Gold has moved through $5,000 for the first time – showing investors are still seeking out the traditional haven for some insurance against what remains a febrile backdrop.
“In less than 18 months bullion has more than doubled in value – buoyed by central bank demand, global turmoil, dollar weakness, and the diminished appeal of other popular defensive assets.”
Silver was not left behind by the precious metals rally and smashed through $100 for the first time to trade at $108 at the time of writing.
Fresnillo shares were unsurprisingly at the top of the FTSE 100 leaderboard at the time of writing, with gains of 3%.
Fresnillo shares have doubled since the middle of November, trading just shy of 4,400p at the time of writing. The silver miner started 2024 priced at around 620p. It’s also the second-best performer year to date in 2026, with gains of 30%.
Gold miner Endeavour Mining was 2.9% higher, while diversified miners Antofagasta and Anglo American joined the rally with gains in excess of 2%.
Despite strength in miners, there was plenty of weakness elsewhere that prevented the index from moving materially higher.
3i Group lost around 4% after analysts at RBS cut their rating to underweight, while Barclays reduced its price target.
Autotrader’s downtrend continued with the share price breaking down by over 3% to 550p – the lowest level since 2023.
Experian and Reckitt Beckiser where among other names that saw selling pick up on Monday after a poor week last week.