The FTSE 100 reached an all-time high on 12 October closing at 7,556.24. The index closed the month up 1.63% at 7,493.08. This is impressive given there has been a number of disappointing results from companies including GKN, GlaxoSmithKline and Whitbread (the owner of Costa Coffee and Premier Inn).

The Consumer Price Index measure of inflation hit a five year high reaching 3%. With the UK economy growing 0.4% between July and September it is likely that we will see the first interest rate rise in more than a decade at the Bank of England’s Monetary Policy Committee meeting in November. The consensus amongst analysts is the base rate will rise by 0.25% to 0.5%.

As consumer confidence hits all-time highs in the US, the Dow Jones has continued its trend of reaching record highs this year. In October the index broke its own record on a further 12 occasions taking the 2017 cumulative total 53 record highs.

Oil had a strong month as conflict in Kurdistan, meant Iraqi oil production was reduced. This has led oil to finish the month up 6.66% to US$61.37 per barrel.  

Sources:

www.bloomberg.com

www.xe.com

https://www.thebalance.com/dow-jones-closing-history-top-highs-and-lows-since-1929-3306174

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