FTSE 100 advances as Olympic effect lifts economy

<p>The FTSE 100 has made gains following positive economic growth news.</p>

The FTSE 100 has advanced in trading this afternoon (October 25th) following news the economy grew by one per cent over the third quarter.

This is according to official gross domestic product figures from the Office for National Statistics (ONS), which revealed ticket sales for the Olympic and Paralympics added 0.2 percentage points to this figure.

Britain has been in recession – which is identified by two consecutive quarters of economic contraction – for nine months, but even though this latest data puts the country back in the black, the nation is not out of the woods yet.

Indeed, the Olympic effect is a one-off and ONS data shows the level of output between July and September was almost identical to what it was over the same three-month period in 2011.

At 14:20 BST, the FTSE 100 index in London was 0.3 per cent higher, rising to an index value of 5825.2 points.

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