FTSE 100 Index Gains as European Markets Wind Down For Holiday

As the holiday season approaches, the FTSE 100 ends the pre-Christmas break with a strong gain, closing up 0.44%, and retaking the 8,100 level with plenty more gainers than losers. The FTSE 250 has also shown strength into the holiday with a gain of 0.64% on the day, outperforming the blue-chip index.

European markets are offering up a mixed picture with Germany's DAX index down by 0.18%, as the Stoxx 600 delivered a gain of 0.14%. France's CAC 40 index has added more than 0.5%, as bullish sentiment looks to carry the market through the Santa Claus rally.

Considering the 52 week range of the major European indices, and you can see a contrasting story with how each market is moving into the year end. The UK indices, along with the DAX and the Stoxx 600 are all trading towards the higher end of the YTD trading range, whilst the CAC 40 is trailing, down 2.94% on the year. The DAX has picked up momentum, and looks to end the year as the best performer, up 18%.

Year-to-date, the FTSE 100 has recorded a 5.5% increase, peaking at 8,445.80 points in May, as the FTSE 250 also gained a little over 5%.

On the UK corporate front, Vistry Group PLC issued a third profit warning, which has seen the stock decline by more than 15%. The company revised its 2024 profit estimates downward, projecting an adjusted profit before tax of £250 million, a reduction from the earlier estimate of £300 million. Vistry’s share price (LON: VTY) hit a new 52 week low intraday at 523p, marking it as the biggest loser on the FTSE mid-cap index.

As traders and investors prepare to celebrate the festive season, the question as to whether the Santa Claus rally will emerge this year remains on many lips. For now, markets are gearing up for a closed session, and with 2025 fast approaching, we will know soon enough what Christmas brought.