By Barbara Kollmeyer, MarketWatch
MADRID (MarketWatch) -- Gains swept through London's benchmark
index on Friday after Scottish voters opted to stay in the U.K.,
with those moves inspiring gains across Europe.
The FTSE 100 index rose 0.5% to 6,856.45. For the week, the
London index has logged a gain of barely 0.2%, sharply
underperforming a 1% rise for the Stoxx Europe 600 index .
The FTSE 100 rose 0.6% on Thursday, bucking three straight
sessions of losses. The result from the referendum that day showed
55% of Scottish residents voted to reject independence for their
country.
The British pound has gained, as was expected, on relief over
the "No" vote. Sterling (GBPUSD) last changed hands against the
dollar $1.6447, versus $1.6400 late Thursday. The move is more
dramatic when compared with a $1.6260 level late Wednesday.
Scottish-linked stocks surge: Royal Bank of Scotland PLC (RBS)
and Lloyds Banking Group PLC (LYG) stood out, rising 4% and 2.5%,
respectively.
Among other Scottish firms, Standard Life PLC rose 1.4%, and
Aberdeen Asset Management PLC gained close to 2% and Weir Group PLC
added 2%.
"Investors in these firms will be relieved that management will
be able to devote their time to business performance, rather than
fretting about contract changes or headquarters moves," said Brenda
Kelly, chief strategist at IG, of those companies in a note ahead
of the open.
Subscribe to WSJ: http://online.wsj.com?mod=djnwires