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* FTSE 100 up 0.5%, FTSE 250 jumps 4.2%
* Utilities, banks and retailers top risers
* Utility sector soars as Corbyn steps down as Labour leader
LONDON, Dec 13 (Reuters) - UK shares with heavy exposure to
the domestic economy surged on Friday after Prime Minister Boris
Johnson's Conservative Party won a sweeping majority, which is
expected to translate to Britain making an orderly exit from
the European Union.
The export-heavy FTSE 100 .FTSE index rose 0.7%, lagging
it's European peers as dollar earners were hit hard by pound's
surge to 19-month high versus the dollar. The mid-cap stocks index FTSE 250 .FTMC , which is home to
many companies with high UK revenue exposure, surged about 5%
and hit fresh record highs.
Emmanuel Cau, head of European equity strategy, said UK
stocks were to benefit from a bullish cocktail formed by Boris
Johnson's electoral victory and a preliminary trade deal between
China and the U.S.
"The banking sector, real estate, construction, utilities,
all these sectors are expected to benefit from the 'feel-good'
factor".