FTSE 100 Closes at Record High as Energy Stocks Surge on New Russia Sanctions
The FTSE 100 ended Thursday’s session at a record closing high of 9,578.5 points, after new US sanctions on Russia sent oil prices soaring and boosted the value of UK energy companies. The index briefly hit an intraday peak of 9,594.82, taking its year-to-date gain to more than 17%.
The rally was led by BP, up 3.7%, and Shell, up 2.9%, after US President Donald Trump announced sanctions targeting Rosneft and Lukoil, Russia’s two largest oil producers. The move triggered a surge in crude prices, with Brent crude rising 5.2% to $65.76 per barrel by the afternoon.
Adding to the pressure on Moscow, the European Union unveiled a new package of sanctions in response to Russia’s war in Ukraine, including a ban on Russian liquefied natural gas (LNG) imports.
Further disruption came as Reuters reported that Chinese state oil majors have suspended seaborne purchases of Russian crude, following the latest wave of Western restrictions.
The developments sent Russian markets tumbling, with the MOEX Russia Index and RTS Index both sharply lower, as investors digested the deepening impact of coordinated US and EU sanctions on Russia’s energy sector.
The combination of strong oil prices and resilient corporate earnings helped propel the FTSE 100 to its latest milestone, reinforcing London’s position among the best-performing major equity markets of the year.
