From Morningstar: 2024-09-25 04:53:00

have some exposure to the UK but are mostly globally diversified. So they have a global business model. “What will happen with Brexit with those sectors [that are domestically focused]; that continues to be an issue, but those are not necessarily reflected in the FTSE 100. “That’s why you see this disconnection between the short-term prospects of the UK and the real potential of the FTSE 100.” Bragazza actually believes that the FTSE 100 could be up at the end of the year, but productivity-induced contraction could cap bullish prospects. “It’s a quiet environment,” he says. “It’s the moment we’re in a quiet equity market.”

In summary, the FTSE 100 has shown resilience throughout 2024, hitting a record high earlier in May. Positive factors include changing perceptions about UK investability, election outcomes, a return of M&A activity, low inflation, interest rate cuts, and the UK’s appeal as a safe haven compared to US tech stocks. Analysts expect the FTSE 100 to potentially hit another record high by the end of the year, with optimism surrounding consumer discretionary stocks, housebuilders, and sectors like banks, oils, mining, and pharmaceuticals. Investors need to consider both domestic and global factors when assessing the performance of the FTSE 100 in the final quarter of 2024.



Read more at Morningstar: Could The FTSE 100 Hit Another Record High in Q4?