FX.co ★ FTSE 100 Joins Global Rally

On Monday, the FTSE 100 experienced a 0.6% increase, recovering from the previous week’s downturn, driven by a global market rebound. Defence stocks spearheaded the gains amid escalating geopolitical tensions. Babcock saw a 2.5% rise, Rolls-Royce climbed by 2.4%, and BAE Systems grew by 1.7%. This uptick followed reports of a fraught meeting between US President Donald Trump and Ukrainian President Volodymyr Zelenskyy, which offered no advancement toward peace in Ukraine, alongside renewed conflict in Gaza, thereby increasing the appeal of military-related stocks. The banking sector also saw growth as fears about US regional banks subsided; HSBC, Barclays, Lloyds, and NatWest each recorded gains ranging from 0.5% to 1.3%. Additionally, commodity-linked stocks performed positively, with Fresnillo advancing over 2%, while Anglo American and Rio Tinto each rose by more than 1.5%, and Shell edged up close to 0.8%. Conversely, B&M shares plummeted 24% to an all-time low following its second profit warning this month, attributing the decline to cost overruns, ineffective execution, and the resignation of its chief financial officer.