1st LD Writethru: FTSE 100 above 7,000 points for first time amid rosy outlook of economy

FTSE 100 Index, Britain's benchmark stock market gauge, increased by 0.86 percent, or 60.19 points, to 7,022.51 points on Friday, the first time in its 31-year history that it closed above 7,000 points.

The optimistic sentiment of the market on Britain's economic outlook following the government's budget report earlier this week keeps pushing the index refreshing its record high, analysts here reckon.

The British government on Wednesday lifted up its growth projection for the country during 2015 and 2016. It also announced series of tax benefit policies to business and workers.

On Thursday, however, Andy Haldane, chief economist at the Bank of England, said interest rate cuts and rate hikes were "evenly balanced," adding dovish tones on the central bank's policy outlook given the increasing threat of deflation.

Mining giant Anglo American's share price increased by a whopping 5.21 percent, topping the gainers of the blue chips.

Prices of CRH, BHP Billiton, Tullow Oil and BG Group advanced by 5.08 percent, 3.60 percent, 3.46 percent and 2.85 percent respectively.

Real estate developer Persimmon led the top losers of the blue chips, it's share price plummeting 5.01 percent, followed by Imperial Tobacco (1.58 percent), Kingfisher (1.18 percent), Diageo (0.85 percent) and Associated British Foods (0.75 percent).

Trading volume in FTSE 100 companies was around 7 percent higher than the 30-day average. The index has gained 8.13 percent so far this year when measured against the U.S. dollar. Endit