London open: Greek hopes send FTSE to 15-year high as stocks near record levels

18th Feb 2015 08:46

UK stocks were trading at a 15-year high on Wednesday morning, nearing record levels on the back of hopes that Greece will bow into international pressure and request a bailout extension.The FTSE 100 was up 0.2% at 6,913 in early deals.The last time the index has closed above this level was on 30 December 1999 when it settled at a record high of 6,930.20. The intraday record of 6,950.60 was reached on that same day.Reports that Greece will go ahead with a request for a bailout extension have lifted sentiment among investors overnight, as the nation nears its expiry of its current €240bn aid agreement at the end of the month.Ahead of a Friday deadline to agree a deal with Eurozone finance ministers, Athens is said to be preparing a temporary loan agreement rather than a continuation of its existing bailout which includes strict austerity measures and controversial reforms. A meeting with the Eurogroup on Monday was called off early after Greek leaders rejected a proposal to extend its current aid package.Connor Campbell, analyst at Spreadex, said: "This move resembles the sorely needed compromise that has been lacking for much of the past two weeks, and the Eurozone indices have taken this sentiment to heart, creeping into the green after the bell."As for Wednesday's economic calendar, the main events will be the release of minutes from the latest policy meetings at the Bank of England and Federal Reserve. UK labour-market data and US housing figures are also due out.Tesco names new chairmanSupermarket giant Tesco rose after revealing that it would be appointing Dixons Carphone's chairman John Allan as the replacement of current chair Richard Broadbent who announced his resignation last year. Allan will be leaving his position at Dixons Carphone and also plans to step down as a non-executive director at Royal Mail.Homebuilder Galliford Try impressed with strong revenue and profit growth in its first six half, which allowed management to hike the interim dividend by 47%.Coca-Cola HBC, the Greece-based drinks bottler, enjoyed improved volumes and lower sugar and oil costs in the final few months of the year but earnings were hit by worse currency effects than were expected, causing shares to fall early on.Engine maker Rolls-Royce was being pressured lower after JPMorgan Cazenove analysts downgraded their recommendation on the stock to 'underweight' and cut their target price from 840p to 800p.WH Smith was lower after being downgrade to 'equal weight' by Barclays Capital, while TSB was hit with a ratings cut by Jefferies to 'hold'.