FTSE 100 peaks as healthcare firms rise

FTSE Futures Updates

On Wednesday, the FTSE 100 reached a new intraday high, propelled by progress in the healthcare sector, as investors assessed the possible effects of the U.S. government shutdown on the upcoming release of key economic indicators. The blue-chip index rose 0.7% as of 0950, continuing its upward momentum from a record-breaking close in the previous session and concluding the third quarter with an approximate gain of 7%. Where as –

  • Healthcare stocks showed impressive performance, surging 4.6%.
  • An index of the UK’s homebuilding companies was 0.5% lower.
  • Industry leaders AstraZeneca experienced a rally of 6.1%.
  • Hikma saw an increase of 3.6%, and GSK was up by 2.6%.
  • The midcap index FTSE 250 saw a decrease of 0.2%.

Announcement comes after a statement from Pfizer and President Donald Trump, revealing that the U.S.-based pharmaceutical company has agreed to lower prescription drug prices in the Medicaid program in exchange for tariff relief. Nevertheless, caution prevailed in global markets due to concerns about the U.S. government shutdown. On Wednesday, federal operations in the U.S. faced considerable disruption, creating a climate of uncertainty at a moment when markets are particularly sensitive to signals about the Federal Reserve’s monetary policy direction. Tate & Lyle was the most significant detractor on the index following the food ingredients manufacturer’s warning that its annual profit and revenue are expected to decline due to a slowdown in demand in the Americas, its primary market.

The company’s shares saw a notable drop of 9.7%, hitting levels not seen since 2009. The aerospace and defence index experienced the most significant decline among sectors, dropping by 1.4% after a rise of over 2% in the previous session. Recent data indicates that British house prices saw a slight increase in September, climbing by 0.5%, which exceeded expectations, after a decrease of 0.1% in August. Among other stocks, Greggs rose 7.4% after the bakery and fast-food chain reported a 6.1% increase in third-quarter total sales, indicating that business improved in August and September.