# FTSE 100 Record High Comment from InterTrader’s Steve Ruffley Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2017-03-17 Category: NEWS Category URL: https://financedigest.com/category/news Meta Title: FTSE Hits Record Highs: What's Driving the Crazy Meta Description: Explore the latest FTSE highs and the reasons behind the market euphoria, from Fed rate hikes to investors' risky behaviour. Is the bubble about to burst? URL: https://financedigest.com/ftse-100-record-high-comment-from-intertraders-steve-ruffleyhtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/dsc2073-2220-1736844072168-compressed.jpg) Once again, we wake to the news of more record highs. This time it’s in the FTSE. 9 months ago, we were warned that Brexit may knock the markets by 10%, if Trump became president maybe they may fall 20%, yet here we stand at record levels. The explanation for this is easy. The world has gone mad. Last night we saw the [FED finally start the path of normalisation on rate with a hike](https://www.financedigest.com/u-s-dollar-rallies-to-more-than-2-year-hike-on-steep-fed-rate-hike-outlook.html "U.S. dollar rallies to more than 2-year hike on steep Fed rate hike outlook"). Predicted to be 1 of 4 but most likely 3. In traditional economic models hikes in [rates send](https://www.financedigest.com/stocks-struggle-as-china-rate-cut-sends-oil-tumbling.html "Stocks struggle as China rate cut sends oil tumbling") markets down. Not in the new exciting world of ‘no news is bad news for [stocks](https://www.financedigest.com/mutual-funds-vs-stocks-which-is-better.html "stocks"). On the serious side investors, with a lack of alternatives (interest on cash) have forgotten [stocks are a risky investment](https://www.financedigest.com/aston-martin-stock-soars-after-295-million-on-geely-investment.html "Aston Martin stock soars after 5 million on Geely investment"). What goes up will come down. Now the FED are making cash more attractive and people will eventually pull out risky investments and [put](https://www.financedigest.com/cash-crunch-for-british-funds-puts-regulators-under-pensions-lens.html "Cash crunch for British funds puts regulators under pensions lens") them into cash. The UK [seems to be less willing to raise rates](https://www.financedigest.com/stocks-dip-yields-climb-as-rate-hikes-seem-to-stay-the-course.html "Stocks dip, yields climb as rate hikes seem to stay the course"), but they are both cyclical and inevitable. They will go up soon. The FTSE will target 7500, that is the [next psychological testing point](https://www.financedigest.com/digitally-projected-revenue-to-be-the-unique-selling-point-of-next-generation-centrifuge-market.html "Digitally projected revenue to be the unique selling point of Next Generation Centrifuge Market"). Although it has never seemed comfortable above 7k the trend is clearly bullish. [Selling new highs is not the strategy in this new ‘stocks](https://www.financedigest.com/stocks-extend-sell-off-as-u-s-warns-of-imminent-russian-invasion-of-ukraine.html "Stocks extend sell-off as U.S. warns of imminent Russian invasion of Ukraine") at any cost’ mentality. --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---