By Avinash P (Reuters) -London stocks gained on Wednesday, with the blue-chip FTSE 100 advancing to a record high for a second consecutive session, on the back of strong forecasts from drugmaker GSK
FTSE 100 Hits Record High, Driven by GSK and Next Earnings Boost
FTSE 100 Performance Overview
By Avinash P
Key Contributors to Index Growth
(Reuters) -The UK's benchmark index closed at a new high on Wednesday, marking its fifth straight record-breaking session, primarily driven by strong earnings forecasts from drugmaker GSK and retailer Next.
Sector Performance Highlights
The British blue-chip FTSE 100 closed 0.6% higher, taking its daily-winning streak to eight sessions, while the mid-cap FTSE 250 ended about 0.2% lower.
Impact of Currency Fluctuations
GSK provided a significant boost to the benchmark index by gaining 6.5% after the drugmaker raised its 2025 sales and earnings forecasts on strong sales of its speciality HIV and cancer medicines. The stock boosted the broader healthcare index, which rose 2.4%.
Market Context and Future Outlook
The industrial metals and mining index was also a standout, climbing 3.3%, to lead sectoral gains. Miner and trader Glencore rallied 5.6% after reporting a rise in its third-quarter copper output.
Meanwhile, the retail index surged 3.2%, lifted by Next , whose shares surged 8.7% to a record high after it raised its full-year profit guidance for the fourth time in eight months.
"Next is benefiting from a virtuous circle in its international business – strong sales are enabling more spending on digital marketing which in turn drives higher profitable sales, enabling a higher digital marketing budget, pushing sales further ahead," said Steve Clayton, head of equity funds at Hargreaves Lansdown.
Also helping the main index was a weaker pound which enhances the revenue for internationally-focused companies.
Among other stocks, gold miner Fresnillo advanced 5%, as brokerage Peel Hunt raised its target price to 1,954 pence from 1,493 pence.
The day's moves in London also coincided with a rally in global markets ahead of the U.S. Federal Reserve's monetary policy meeting later in the day amid wider expectations for a 25-basis-point interest rate cut.
Stateside, chipmaker Nvidia became the first company to hit a $5 trillion valuation mark.
Meanwhile, Bank of England data showed lenders approved more mortgages in September than in any month in 2025, which could help counter recent signs of wariness in the housing market ahead of Finance Minister Rachel Reeves' budget next month.
(Reporting by Avinash P in Bengaluru; Editing by Harikrishnan Nair, editing by Ed Osmond)
