The FTSE 100 closed just shy of its all-time high on Tuesday, finishing the session at 8,254.18, only 14 points below the record closing high of 8,272.46 set on 22 May. The index rose 38.48 points, or 0.47 per cent, buoyed by gains in mining stocks and a softer pound, which tends to benefit multinationals that earn in dollars. Despite intraday gains, the index failed to break through the closing peak amid cautious investor sentiment and ongoing global market volatility.

Anglo American was among the biggest risers, gaining 3.8 per cent, as traders speculated on the company’s restructuring plans following the collapse of BHP’s takeover attempt. Other top performers included Antofagasta, Glencore, and Rio Tinto, which all benefited from stronger metal prices and optimism around Chinese stimulus measures. The mining sector overall added significant upward pressure to the index throughout the day, with copper and iron ore futures both seeing positive movements during London trading hours.

The pound fell 0.3 per cent against the dollar to $1.268, giving a tailwind to FTSE constituents that generate substantial overseas revenue. At the same time, yields on UK gilts slipped as investors reacted to a softer-than-expected labour market report showing a slight uptick in unemployment and a slowdown in wage growth. The weaker data has led markets to adjust expectations for …