FTSE 100 Soars to Close Out 2024 with Gains

FTSE 100 ends 2024 on a high, marking its best year since 2021, driven by gains in major sectors like energy. Precious metals and aerospace stocks shine, while personal goods lag. Economic shifts, including PM Keir Starmer's election win and Bank of England's policy changes, underpin index performance.

In a remarkable close to 2024, London's FTSE 100 soared to its highest point in over a week, achieving strong gains for the fourth consecutive year. The index rose by 0.6%, its best day in over a month. Despite this triumph, it recorded only one negative quarter among six.

Throughout the FTSE 350, most sectors saw positive movement. Precious metal miners rebounded with a 2.2% rise, following a three-month low in the previous session. Energy stocks provided a significant boost with a 1.5% increase, while personal goods suffered the steepest decline of 27% for the year. Leading the gainers were aerospace, defense stocks, and banks, each seeing over 30% growth in 2024.

Contributing to these gains were political and economic catalysts, including the election of Prime Minister Keir Starmer in July and the Bank of England's initiation of monetary policy easing in August. This facilitated the FTSE 250 index's second consecutive rise. However, investors remain wary of various factors, such as Donald Trump's impending return to the White House and global monetary policy shifts, as they head into 2025.

(With inputs from agencies.)