Share prices in the City were on course for their biggest daily gain in two months amid investor hopes that a Joe Biden victory in the US presidential election would result in a major new stimulus package.

London’s leading stock market index – the FTSE 100 – was up more than 100 points in early trading as the gloomy mood of last week faded.

The rally in share prices began overnight in the Asia-Pacific region and moved on to Europe where all the major bourses posted gains. The FTSE was up by more than 100 points by mid-morning in London and trading at its highest level in a week.

Despite the imminent start of a new nationwide lockdown