London stock market has best January since 1989

31 January 2013 Last updated at 18:15 ET Help

The London stock market has had its best start to the year since 1989.

The FTSE 100 index of leading shares was up nearly 6.5% in the month of January, with investors cheered by improving global growth prospects.

The increase comes despite recent news that Britain's economy is in reverse.

Hugh Pym reports.

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