FTSE could hit record 7,000 in 2011

City analysts believe the FTSE 100 could hit an all-time high of almost 7,000 points this year as the global economic recovery gathers pace.

They cite higher company profits, more mergers and acquisitions and investors moving their money back into equities as factors behind another big rise this year after the 9% gain recorded in 2010. The average year-end target given by 13 forecasters surveyed by The Times is for the index to finish 2011 at 6,560 points, which is an 11% gain over the year. London's blue chip index is currently soaring on the first trading day of the new year, up 1.76% to 6004.06. Keith Skeoch, chief executive of Standard Life Investments, was among the most bullish, predicting the FTSE would end the y...