Inflation impact shows UK equities still 20% off recent peak

While markets are nearing - or passing through - nominal highs, in reality, UK shares would need to climb much higher just to meet inflation-adjusted pre-crisis highs of 2007.

Data from Hargreaves Lansdown shows the FTSE 100 - and the wider FTSE All-Share - still have over 20% further to climb before reaching previous highs seen before the credit crisis. The FTSE 100 hit a multi-year nominal peak of 6,732 in June 2007, just before a crash in valuations which would wipe out nearly 50% of its value as the credit crisis took hold. The blue chip index is now once again nearing those giddy highs, with the FTSE 100 today nearing 6,500. That puts it 6.5% away from all-time high of 6,950.6 reached in 1999, prior to the tech bubble's collapse. Such highs can t...