FTSE: Panic ceases as banks help index to rise

FTSE Market

FTSE Market

The FTSE 100, the index which reflects the 100 biggest companies in the UK, is witnessing its first two-day rise within the last three weeks as bank shares increase in price. The index saw its most sizable rise yesterday, increasing by 85.41 points to 5248.24, the biggest single day advance since spring last year.

Investors looking for opportunities

Short-selling has been banned on financial shares in four European countries which has created some order and calm in the markets. Many investors have been looking for easy opportunities, Barclays have had a jumped to 190.7p an increase of 12.9p, Llyods Banking Group increased by 1.5p to 33.7p and RBS have finished on 26.5p a rise of 1.2p. These three banks reflect the current economic climate with all witnessing 20% drops in prices.

French bank Societe Generale helped to raise the feelings of the markets by stating that in banks in the UK offered better value during this difficult period of time.

The bank picking RBS as its top choice said: “Since 2008, UK banks have made great strides in cleaning up their balance sheets.”

Gambling group Bwin.party Digital Entertainment look like being at the centre of a takeover and rumours of this have helped its share price increase to 106p a rise of 2p. Speculation has spread to rumours that betting giants William Hill was looking at Bwin and with a sell-off in their shares William Hill may well complete the process at the current price of 160p

How will pensions be affected?

The news that the financial markets is not just a good one for those working in the industry it is also a positive for those with pensions and those with pensions which are directly linked to the stock markets. If you would like to consider a private pension then the stakeholder pension is one of the simplest and cheapest schemes around.

However if you would like to know what the recent volatility in the financial markets means for your pension then please fill our quick and simple pension enquiry form which will allow you to speak with a qualified independent financial advisor.

If however,  you can no longer rely and trust the state pension use our pension calculator to find the best rates available and tailored for you.

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