FTSE 100 hits record high despite AI sell-off
TL;DR
Strong corporate results buoy market as investors move money away from tech and semiconductor stocks London’s FTSE 100 stock index has touched a fresh high, driven by strong corporate results as investors moved money away from tech and semiconductor stocks amid the global tech stock sell-off. The UK’s blue chip index rose as high as 10,951 points on Wednesday morning before falling back slightly, its best level since 27 February, the day before the US and Israel began attacks on Iran and sparked stock market volatility.
Nauti's Take
The upside here is a useful reminder that the economy is more than AI stocks, and diversified portfolios are being carried by traditional FTSE sectors right now. The catch sits in the cause.
Money is not moving to London out of conviction but out of fear of overheated tech and semiconductor valuations. For AI companies the risk is concrete: capital gets pricier and more selective.
Firms with real revenue get through, firms selling story alone should be careful.
Sources