London — Stocks rallied and the pound gained on Thursday as Britain and the EU close in on a free-trade Brexit deal and investors wagered on a global economic recovery.
The FTSE 100 rose 0.07% while the more domestically-focused British mid-cap FTSE 250 index hit its highest levels since February, and UK small caps a record high. The Stoxx 50 added 0.17% while Germany’s DAX gained 1.26%. Sterling added another 0.6% to $1.3586, close to its highest level in two years. Still, the pound’s 5% rally since early November means much of the Brexit relief has been priced in to the currency, analysts say. Wall Street ended mostly higher on Wednesday and futures pointed to a stronger open later on Thursday.
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