FTSE 100 Hits New High as Steady UK Growth Supports Equities

The FTSE 100 index opened at 10,791 on August 17 due to steady UK GDP growth of 0.4% in the second quarter.

This reading keeps the Bank of England on hold, leaving equity risk appetite intact.

The index is heavily weighted toward large, dividend-paying companies in financials, energy, and consumer staples.

Stable rates support the index floor as income-seeking investors have less reason to rotate out of equities and into bonds when the rate outlook is calm.