FTSE 100 Climbs Over 1% as Banks and Gold Miners Lead

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London’s FTSE 100 rose sharply on November 4, 2026. Reuters reported that the blue chip index was up 1.18% at 10,764.49 points by 1121 GMT, putting it on track for its biggest one day gain in about six weeks. Banks gave the index its biggest lift, and gold miners also rose strongly as gold prices climbed.

What happened

Bank shares rose 4.3% as a group, which would be their biggest one day gain in nearly six months. HSBC, Standard Chartered, NatWest, Lloyds and Barclays each rose between 3.6% and 4.8%. The rally came a day before the Bank of England decision, with markets widely expecting a 25 basis point rise in interest rates.

Precious metal miners rose nearly 6.2%, set for their biggest one day gain in nearly three months, tracking a 3% rise in gold prices. The midcap FTSE 250, which holds smaller and more UK focused companies, climbed 0.83% to a two month high.

Not every stock rose. Lion Finance Group rose 7.5% after announcing a 62 million Georgian lari share buyback, worth about 24.2 million dollars, which put it among the top gainers. Engineering firm Weir fell 7.7% after flagging shorter term headwinds from Middle East conflict and Chilean mine disruptions, even though it kept its annual outlook. Metro Bank jumped 13.9% to lead the midcap index after reaffirming its targets.

The wider backdrop also mattered. The dollar slipped after Democrats swept both houses in the US midterm elections, which raised concerns about tighter regulation of artificial intelligence and its possible drag on economic growth. That weaker dollar helped lift gold, which in turn helped gold miners.

Why it matters for beginners

The FTSE 100 is an index of the 100 largest companies listed in London, weighted by size. When it rises, it does not mean every company rose. On this day, banks and miners pulled the index up, while Weir pulled in the other direction. That mix is normal for an index.

Banks are sensitive to interest rate expectations because higher rates can increase the income they earn from lending, known as net interest income. That is one reason bank shares often move before a central bank decision, not only after it. Gold miners are sensitive to the gold price, so a 3% rise in gold can lift their shares by more.

This is also a useful contrast with the end of October, when the FTSE 100 ended the month higher but banks were a drag after NatWest fell. Our earlier post on that month end move is here: FTSE 100 Logs First Monthly Gain in Three Months as AstraZeneca Jumps.

What to watch next

First, the Bank of England decision on November 5, and whether it raises rates by 25 basis points as widely expected. Second, whether bank shares hold their gains after the decision, or give some back once the news is confirmed. Third, whether gold keeps rising or cools, since that will matter for precious metal miners. Fourth, whether the FTSE 250 keeps climbing with the FTSE 100, which would suggest broader confidence in UK focused companies too.

FAQ

What is the FTSE 100?

It is an index of the 100 largest companies listed on the London Stock Exchange, weighted by market value. It is often used as a shorthand for how large UK listed companies are doing, even though many of them earn much of their revenue overseas.

Why did banks rise before the Bank of England decision?

Markets trade on expectations. With a rate rise widely expected, investors bought bank shares in advance because higher rates can support bank lending income. The actual decision may still move shares if it differs from what was expected.

Why did gold miners rise so much?

Gold prices rose about 3%, helped by a weaker dollar after the US midterm results. When gold rises, gold miners often rise more, because their profits can rise faster than the metal price itself.

Does a one day gain mean UK stocks will keep rising?

Not on its own. One strong day can reflect a specific mix of rate expectations, currency moves and company news. The Bank of England decision, company results and wider market sentiment will all shape the next moves.