FTSE 100 Index Hits New High: Shares Gap Up (SDR, FRES, DPLM, BNZL)

The FTSE 100 scaled new heights in early trading, hitting 9,478.03, and boosted by gaps up in Diploma, Fresnillo, Bunzl, and Schroders. The blue-chip index has carved out a 0.5% gain early and extends its YTD rally to 14.71%.

Diploma's stock opened at 5,400, adding 145 points from the prior close. DPLM currently trades 2.47% higher on the day. This impressive ascent followed the company's revised full-year organic revenue growth forecast, fueled by a robust 6% increase in first-half sales.

Fresnillo shares have risen to 2350, closing in on highs, and mirroring the record-breaking surge in gold prices. The surge in gold prices has been attributed to central bank purchasing, geopolitical uncertainties, and anticipation of lower interest rates, enhancing gold's attractiveness as a safe-haven asset and boosting Fresnillo's appeal.

Schroders also saw its shares gap up on the open, capitalizing on the broader positive market sentiment and trading 2.85% higher at 390.4p at the time of writing. 

The mining sector has played a role in driving the FTSE 100 to its record high. Companies such as Anglo American, Rio Tinto, and Glencore have all posted significant gains in the past month, with both AAL and GLEN seeing shares add ~20% on the period. This rally has been underpinned by rising prices for commodities like iron ore, copper, and gold, bolstering investor sentiment and contributing to the FTSE 100's overall impressive performance.

Bunzl shares are currently trading 3.69% higher on the day, following an upgraded price target from Goldman Sachs. The firm increased their mark to 2,510p, up from 2,375p prior.