The FTSE 100 broke back through 6,000 points today (January 2nd) after US politicians came to an agreement on how to avoid the so-called fiscal cliff.
Economic data was driven upwards as confidence returned to the markets, which were also positively pushed by promising economic data from China, coupled with metal prices.
Overall, the benchmark index advanced by two per cent to 6,016.41, an improvement of 119 points, up from its best closing level for 2012 and moving past the 5,997-point peak set last year.
Barclays made the best single gain in the sector, advancing 3.5 per cent, while the FTSE 100's best single riser over 2012 Lloyds Banking Group was 3.4 per cent higher at 271.3p.
However, analysts have argued any positive movement in the market is likely to change in the near future after US lawmakers reconvene to address several unresolved issues.
Learn about the markets and find spread betting tips at City Index.
GAIN Capital UK Limited (trading as “City Index”) is an execution-only service provider. This material, whether or not it states any opinions, is for general information purposes only and it does not take into account your personal circumstances or objectives. This material has been prepared using the thoughts and opinions of the author and these may change. However, City Index does not plan to provide further updates to any material once published and it is not under any obligation to keep this material up to date. This material is short term in nature and may only relate to facts and circumstances existing at a specific time or day. Nothing in this material is (or should be considered to be) financial, investment, legal, tax or other advice and no reliance should be placed on it.
No opinion given in this material constitutes a recommendation by City Index or the author that any particular investment, security, transaction or investment strategy is suitable for any specific person. The material has not been prepared in accordance with legal requirements designed to promote the independence of investment research. Although City Index is not specifically prevented from dealing before providing this material, City Index does not seek to take advantage of the material prior to its dissemination. This material is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation.