European stocks rise in broad rally as FTSE 100 nears record

A broad-based advance put European stocks on track for their longest stretch without losses in almost a year, and the U.K.’s FTSE 100 Index within reach of an all-time high.

The Stoxx Europe 600 Index added 0.9 percent at 2:22 p.m. in London, poised for its biggest advance in almost two weeks. The FTSE 100 jumped 1.8 percent, heading for a record close, along with gauges of mid-sized and smallcap firms, an occurrence last seen in 1999.

British exporters rallied after updates on the process of the country’s withdrawal from the European Union sent the pound to a three-decade low surpassing its post-referendum level.

Optimism is slowly returning to the market, after euro-area economic data began beating forecasts again and concern over lenders eased. The Stoxx 600 is going for a sixth straight day without losses, and earnings from more than 150 firms are due this month.

“The falling pound has benefited U.K. equities and has been good for the U.K.’s exporters,” said Pierre Mouton, who helps oversee about $8.5 billion as a fund manager at Notz, Stucki & Cie. in Geneva. “The economic numbers are OK in Europe. The next three to four weeks will be very important, with companies giving their results for the quarter.”

A broad-based advance put European stocks on track for their longest stretch without losses in almost a year, and the U.K.’s FTSE 100 Index within reach of an all-time high.

The Stoxx Europe 600 Index added 0.9 percent at 2:22 p.m. in London, poised for its biggest advance in almost two weeks. The FTSE 100 jumped 1.8 percent, heading for a record close, along with gauges of mid-sized and smallcap firms, an occurrence last seen in 1999. British exporters rallied after updates on the process of the country’s withdrawal from the European Union sent the pound to a three-decade low surpassing its post-referendum level.

Optimism is slowly returning to the market, after euro-area economic data began beating forecasts again and concern over lenders eased. The Stoxx 600 is going for a sixth straight day without losses, and earnings from more than 150 firms are due this month.

“The falling pound has benefited U.K. equities and has been good for the U.K.’s exporters,” said Pierre Mouton, who helps oversee about $8.5 billion as a fund manager at Notz, Stucki & Cie. in Geneva. “The economic numbers are OK in Europe. The next three to four weeks will be very important, with companies giving their results for the quarter.”