FTSE 100 Hits Record High Amid Corporate Earnings Boost
The European market lost momentum on Wednesday, but the FTSE 100 index managed to hit a record high. The FTSE 100 rose by 27.83 points or 0.3%, reaching an intraday high of 10,951.06. This was largely due to strong corporate earnings from companies such as Standard Chartered, Reckitt Benckiser, and Rio Tinto. Standard Chartered increased its dividend by two thirds and announced a $1 billion share buyback.
The FTSE 250 edged up just 9.82 points at 24,014.60, while the AIM all-share fell 2.54 points or 0.3% at 765.40. In contrast to the strong performance of the UK market, European indices such as the DAX 40 and CAC 40 were down 0.2% and 0.5%, respectively.
The US market is expected to open mixed on Wednesday evening, ahead of the Federal Reserve's decision on interest rates. Apple's shares hit an intraday high of $342.89 in New York, making it the second company to reach a market capitalisation of over $5 trillion after Nvidia achieved this milestone back in October.
However, semiconductor stocks are still under pressure, with SK Hynix shedding 9.6% in Seoul on Wednesday, adding to its 15% slump on Tuesday. This has led some analysts to comment that the rotation out of technology and AI stocks is fading.