The FTSE 100 Index soared to a record high last week, continuing a strong bull run that started in April when it bottomed at £4,890. It soared to £10,685, meaning that it has outperformed the US stock market in sterling and dollar terms. This article explores some of the top gainers driving the Footsie.
Beazley and Schroders are the top FTSE 100 Index shares this year
Mergers and acquisitions (M&A) has contributed to the ongoing FTSE 100 Index surge. Beazley, a top Lloyd’s insurance company, has soared by over 45% this year.
This rally happened after Zurich, a major insurance company, announced an £8.4 billion acquisition. The buyout, if it proceeds, will make Zurich the biggest player in Lloyd’s, a top insurance marketplace in London. This is notable as the number of active Lloyd’s syndicates has soared recently.
Schroders’ share price soared by over 42% this year after the company agreed a $13 billion buyout by Nuveen. Nuveen is owned by the Teachers Insurance and Annuity Association of America (TIAA) and will be paid for in cash.
BAE Systems share price has soared by 26% this year and is the third best-performer in the FTSE 100 Index. The rally happened as geopolitical risks continued rising and as European countries continued their spending.
The most recent results showed that its orders jumped to over £36.8 billion from £33.7 billion a year earlier. Its profitability continued to grow, with its EBIT hitting £3.3 billion and its sales rising to over £30.7 billion.
The company has been positioned well as global threats have risen. Its European sales rose by 26% to £3.6 billion, with its backlog hitting £27 billion.
Glencore share price jumped by over 23% this year, making it another top FTSE 100 Index company. Its surge happened after the recent merger agreement with Rio Tinto, a move that would have created the biggest mining company in the world. The deal fell apart after the two companies failed to agree on the price.
The other top gainers in the FTSE 100 Index this year are firms like Weir Group, Endeavour Mining, GSK, Antofagasta, and Marks and Spencer.
On the other hand, some major companies have plunged this year. For example, Sage Group stock has tumbled by 24% this year, making it one of the top laggards in the index. This retreat happened as investors dumped software companies amid the ongoing AI threat.
Entaon stock price dropped by 24% as companies in the sports betting dropped amid disruption by companies like Kalshi and Polymarket. Other top laggards in the Footsie Index are companies like Experian, RELX, Autotrader, Rightmove, ICG, and London Stock Exchange Group.
FTSE 100 Index technical analysis
The weekly timeframe chart shows that the FTSE 100 Index soared to a record high of £10,685, up by 117% from its lowest level in April last year.
It has remained above all moving averages, a sign that the bulls remain in control. Also, the Relative Strength Index (RSI) index moved to the overbought level of 80.
The Stochastic Oscillator has continued rising, while the Average Directional Index (ADX) jumped to 38, a sign that the upward momentum is continuing.
Therefore, the most likely scenario is where the FTSE 100 Index continues rising as bulls target the key resistance level at £11,000.
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