Market report: Stock markets rise as world heads for lockdown exit

In normal times the Monday morning back-to-work feeling would be a cause for depression, but signs that workers across the world may return to their jobs proved uplifting for investors on Monday.

Markets across the globe rose as a string of nations — notably France, Italy, Spain, Australia and New Zealand — signalled an easing of their lockdown restrictions. Bourses in France, Germany and Spain all followed Asian trading in rising sharply.

In Britain the FTSE 100 shot up over 100 points, nearing month-highs before slipping back slightly as Boris Johnson returned to work but failed to spell out how changes to the lockdown might be implemented.

The blue-chip index rose 80.19 points or 1.4% to 5832.42 points. Some of the worst-hit stocks this year enjoyed a mini-rally, with easyJet up 17.8p to 590.8p, cruises giant Carnival rising 34.6p to 883.8p and British Gas owner Centrica gaining 1.1p at 33.4p.

Analysts said more countries easing lockdowns this week could spur markets, which will also likely be dictated by policy decisions by the US Federal Reserve and the European Central Bank on Wednesday and Thursday.

It is also a big week in the under-pressure oil market. The price of US oil and Brent Crude both tumbled — the latter down nearly $1 at $20 — today as storage runs short. Some oil is even being stored in small barges around Europe’s main trading hub between Amsterdam, Rotterdam and Antwerp. But shares in oil majors Shell and BP gained around 1% to 1363p and 313p respectively with both due to report on trading and, crucially, the future of their dividend payouts, this week.

Among the biggest risers on the Footsie was industrial equipment rentals specialist Ashtead which warned on profits but slashed spending and said trading in the US and UK is stabilising.

Hargreaves Lansdown analyst Nicholas Hyett said Ashtead had weathered the start of the crisis well but added: “While survival is a good starting point the group needs the economy, and construction sector in particular, to be on an even keel if it’s to thrive. While Government spending on infrastructure is likely to increase in the short term, a boom in the wider construction sector looks like a big ask.” Shares powered up 114p to 1944p.

Outsourcer Capita also made gains after landing a £60 million four-year extension to its contract to administer a pension scheme for teachers on behalf of the Department for Education. The shares were up 10% at 37p.