There was no stopping Royal & SunAlliance this week, as the insurer was propelled up again to a fresh two year high.
As Insurance Times went to press on Tuesday, the shares were one of the main blue-chip risers, trading at around 116.5p. Since touching a low of 73.5p in May, the shares have had a phenomenal run, and have rallied 58%.
Good third quarter figures a few weeks ago have boosted the stock recently, although takeover rumours have helped drive the shares higher.
Since entrepreneur Andrew Regan admitted in June he had taken a look at the company, the shares have rallied strongly. Dealers felt that although no bid followed, there was no smoke without fire and some traders are continuing to hope the group could still be a takeover target, possibly for the likes of Fortis.
Prudential shares also continued to head north as dealers said people were buying into the insurance giant ahead of an investor briefing next week.
Traders said Prudential is due to update analysts in America, and may provide guidance on 2006 earnings per share, and an outline on capital management strategy. Prudential, which was trading at 463p a share in late October, is now at 534.5p.
'Yvette Essen is stock market reporter and insurance correspondent for The Daily Telegraph
