London markets climb as airlines take off 

London markets posted a strong start to the week yesterday, led higher by airlines taking off.

The capital’s premier FTSE 100 index closed 0.76 per cent higher at 7,573.47 points, while the domestically-focused FTSE 250 index, which is more aligned with the health of the UK economy, added 0.39 per cent to reach 21,797.29 points.

British Airways owner IAG was among the best performers on the capital’s top index during, notching a 3.88 per cent gain in its share price to send it second on the biggest risers’ table.

Michael Hewson, chief market analyst at CMC Markets, said fresh data revealed British Airways is “adding back capacity at the fastest rate amongst the major airlines”.

Predictions over a sharp recovery in international travel in the coming months as the Omicron wave sweeping across Europe eases has lifted sentiment toward airlines.

Short haul airline and FTSE 250 listed firm easyJet posted a positive day, finishing 3.44 per cent higher.

Banks provided support to airlines, boosted by the prospect of the UK economy heading toward a period of higher interest rates.

Standard Chartered, which generates most of its income in Asia, was the stand out performer in the sector, climbing 2.41 per cent.

High street lenders Lloyds and Barclays advanced 2.36 per cent and 2.19 per cent respectively.

Supermarkets were the worst stocks on the FTSE 100, with Sainsbury’s and Tesco both closing the day in the red.

The pound was broadly flat against the dollar, weakening 0.06 per cent to buy $1.3519.