Footsie breaks through 4200 barrier

London’s FTSE 100 Index finally broke through the psychological barrier of 4200 today.

The Footsie was up 19.7 points at 4210.1 in mid-morning trading as leading shares rallied after a negative start to the session.

Analysts said the breakthrough signalled another step in the recovery of the London market after falling as low as 3271 in March.

The uplift came despite an uninspiring session on Wall Street, which left investors unimpressed and in need of positive news on the London market.

Help came from logistics and recruitment group Hays, among others, whose shares lifted 1.75p to 99.25p as it updated the market on a good performance by its core personnel arm.

Engine maker Rolls-Royce shares also continued their recent upward spiral after it announced more orders at the Paris Air Show.

But Abbey National dropped 16.25p to 495.75 as investors appeared unimpressed by a progress report on its recovery strategy.

The group said the foundations for the three-year overhaul were now in place, but that trading profits from its core financial services arm were running between 10% and 15% below last year.

Investors in rival banking and insurance stocks fared better, with Prudential among the highest FTSE 100 movers, up 12p at 401p and Barclays rising 9.25p to 476.5p.

Outside the top flight, dealers appeared to draw inspiration from the news of footballer David Beckham’s transfer to Real Madrid.

United shares were up 4.25p to 149.25p by mid-morning following confirmation that England’s star midfielder would be joining the Spanish giants in a deal worth up to £25m (€35.8m) to Manchester United.

Elsewhere shares in house builder George Wimpey were down 1.75p at 306.25p after it forecast a better full-year outlook, but said its house building arm would see lower volumes in the six months to June.