The FTSE 100 made a strong start on Tuesday, lifted by some strong corporate updates and as investors reacted to the fresh records set on Wall Street overnight.
AJ Bell investment director Russ Mould said: “The sharp falls seen in September when the index fell below the 7,000 mark are starting to recede into the distance. However, investors will remain wary given the ongoing risks around Covid, inflation and a slowing recovery.
“Strong corporate results are helping with sentiment. Tomorrow’s Budget in the UK and Thursday’s European Central Bank meeting may help return the wider economy to the forefront of investors’ minds. Whether this will be supportive or have a negative impact on markets remains to be seen.”