Footsie closing the gap after US-listed Arm flops

NEW hopes that London shares could be on their way back in fashion by the summer emerged today, as the latest FTSE 100 surge and signs of a US tech slowdown helped narrow the valuation gap between the US and UK.

- Daniel O’Boyle

But City experts warned that more still needs to be done to keep driving interest in UK stocks, or values will stay behind international peers.

The FTSE 100 hit another all-time high today in early trading, after a long spell in the doldrums, but its momentum was slower compared with its performance over the past four-and-a-half weeks, when it gained 550 points. It was on course for another record close this morning at 8360.87.

With this weekend set to be the warmest of 2024 so far, the City will be hoping that the strong spring run turns into a red-hot summer for London shares.

The FTSE's strong run has helped to close the valuations gap with the US, which has been a major source of concern in the City.