FTSE 100 Makes New High Despite Surprising Borrowing Figures

The LSE has seen a solid start to the day, with the FTSE 100 making new all-time-highs, and the FTSE 250 also seeing gains of 0.34% through the early hours. Markets were initially taken aback as news of higher-than-anticipated government borrowing figures for December came through.

The FTSE 100 index is currently trading up 0.23% at 8,568.29, having earlier made it’s new high of 8,582.79.

Looking at spending, in December, the UK government borrowed £17.8 billion, surpassing expectations set by the Office for Budget Responsibility, which had predicted borrowing of £14.6 billion. This figure represents the highest December borrowing in four years and ranks as the third-highest December borrowing on record.

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Interest payable on central government debt amounted to £8.3 billion during the same period, highlighting ongoing challenges in managing public sector finances.

Shares of Aviva (LON: AV) are 3.48% in the green after an upgrade by JPMorgan from ‘neutral’ to ‘overweight’. Meanwhile, EasyJet (LON: EZJ) disclosed a headline loss before tax of £61 million for the quarter ending 31 December, seeing it’s share price fall 2.62%.

Fresh into new highs, the market is giving bulls plenty to smile about through the early days of 2025. With the year-to-date increase on the FTSE 100 of 3.76% significantly more than half of the growth shown through the whole of 2024, permabulls will be hoping for more of the same.