FTSE 100 hits 19-day high as investors bet on recovery

Reuters | May 19, 2020 at 7:15 AM

* FTSE 100 up 0.7%, FTSE 250 jumps 1.3%

May 19 (Reuters) - London's FTSE 100 climbed for a third straight day on Tuesday as investors pinned their hopes on a speedy recovery from a coronavirus-fuelled recession, while several more UK firms took steps to shore up cash reserves to ride out the economic slump.

The blue-chip FTSE 100 rose 0.7% to a two-and-a-half week high following its strongest finish in nearly two months on Monday that was powered by positive data from an early-stage trial of a coronavirus vaccine.

The domestically focussed FTSE 250 added 1.3%, with battered insurers, miners and industrials among the strongest gainers in early trading.

Specialist insurer Beazley Plc jumped 4.9% as it said it had raised 247 million pounds ($301.83 million) in fresh capital.

But the world's largest caterer Compass Group fell 2.6% after launching a 2 billion pound ($2.44 billion) share offer to boost liquidity as the health crisis shuts its food service operations in offices and schools.