U.K. blue-chip stocks pushed higher Monday, with bank shares taking part in broad-based gains seen as being set off by the passage of a tax overhaul package in the U.S. Senate. Meanwhile, the pound surged on reports of major progress in negotiations over the U.K.’s exit from the European Union, or Brexit. The FTSE 100 index rose 0.5% to 7,340.35, with industrial and financial shares leading all sectors higher. The index on Friday fell 0.4%, taking last week’s loss to 1.5%. The pound bought $1.3507, and hit an intraday high of $1.3539, according to FactSet data, up from $1.3478 late Friday in New York. Against the euro, sterling bought €1.1400, more than €1.1330 on Friday. U.K. and European stocks
started the week in rally mode, rising alongside sharp gains for U.S. stocks after the U.S. Senate passed the Republican-sponsored tax reform proposal almost entirely along party lines on Saturday. Only Democrats and Tennessee Republican Bob Corker voted against it. The Senate move increases chances that proposed tax changes will signed into law by President Donald Trump.
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