255 stories mentioning FTSE 100Updated 8h ago
The UK benchmark swung on US-Iran peace-framework developments, ending one week up 1.63% but later closing 0.39% lower as a 60-day deal awaited signing.
Total new orders in the UK manufacturing sector declined to -45% in June from -41% in May, the Confederation of British Industry's industrial trends survey showed Tuesday.Analysts expected the reading to stand at -35%.
Britain's private sector output remained in the contraction zone in June, mainly driven by sustained weakness in the services sector amid a decline in new business volumes, flash data from S&P Global showed Tuesday.The S&P Global Flash UK PMI Composite Output Index hit a 14-month low of 49.4 in June, compared with 49.7 in the previous month and the expected 50.6.Meanwhile, the manufacturing PMI declined to a three-month low of 53.1 from the prior 53.9 and the Investing.com consensus of 53.5. On the services side, the PMI came in at 48.7, against the previous 49.3 and the market forecast of 50.1.
London's FTSE 100 closed 0.72% in the green on Monday as markets prepare for a busy week of economic and private sector data releases while assessing the latest geopolitical developments at home and abroad.Keir Starmer will resign as prime minister of the UK and as leader of the Labour Party. He will remain in office until the party chooses a new leader, which is expected to take place by the time parliament returns in September. Following the announcement, former Greater Manchester mayor Andy Burnham confirmed that he will seek to replace Starmer as Labour leader and prime minister."Our short-term fair value model shows no overvaluation in EUR/GBP, suggesting no political risk premium. That is good and bad news for GBP. It signals that markets are relaxed about this government change, but that means a greater downside for the pound should fiscal concerns resurface," ING analysts said.Meanwhile, the US and Iran concluded the first high-level peace deal talks in Switzerland with "encouraging progress," mediators Pakistan and Qatar said in a joint statement.Separately, a survey from S&P Global showed UK consumer sentiment remained subdued in June 2026, with the Consumer Sentiment Index edging up to 42.2 from 42.1 in the previous month. S&P said the second quarter of 2026 was the weakest for household confidence since the third quarter of 2023, reflecting softer views on the labor market and household spending.In corporate news, Babcock International Group (BAB.L) was the blue-chip index's top faller, losing 5.89% at closing, after booking a year-over-year drop in fiscal 2026 statutory profit after tax to 210.7 million pounds sterling from 248.9 million pounds. The British aerospace and defense company's revenue, on the other hand, rose to 5.18 billion pounds from 4.83 billion pounds on the back of "strong" growth at its nuclear and aviation segments.Berenberg left its hold rating and 22.80-pound price target for Whitbread (WTB.L) unchanged amid a continued "cautious" outlook on the Premier Inn hotel owner despite a better-than-expected revenue per available room in the UK for its fiscal first quarter. The stock closed the session 3.40% higher."This drives small increases to our estimates. German growth was slightly softer than we expected; however, given that it tends to be an events-driven market, this is unsurprising, and we leave our German estimates unchanged," the research firm said in a note. "Overall, we see no reason to move from our Hold recommendation. The company's back-end-weighted five-year plan limits near-term shareholder returns and an uncertain outlook keeps us firmly on the sidelines."
Britain's consumer confidence remained subdued in June as attitudes toward the labor market and spending weakened, an S&P Global survey showed Monday.The S&P Global UK Consumer Sentiment Index stood at 42.2 in June, up from 42.1 in May. This marks the most downbeat quarter since the third quarter of 2023.
British equities wrapped up the week in the red, with London's FTSE 100 down 0.41%, as investors assessed fresh economic data and monitored developments in the Middle East.Data from market research company Growth from Knowledge showed Britain's consumer confidence indicator at -23 points in June, unchanged from the previous month. The indicator defied analysts' expectations for a dip to -24 points.Meanwhile, the latest retail sales figures from the UK's Office for National Statistics painted a picture of recovery, with monthly retail sales in May up 1.2%, rebounding from a revised 1% decline in April and exceeding forecasts of a 0.5% increase. Year over year, retail sales in the UK rose 3.2% in May.Separate ONS data showed UK public sector net borrowing, excluding public sector banks, increased to 23.29 billion pounds sterling in May from 23.03 billion pounds earlier."Spending on debt interest, public services, investment and benefits all increased in May 2026, compared with last May, more than outweighing higher tax receipts," ONS Senior Statistician Tom Davies said.Geopolitical developments also remained in focus after planned US-Iran talks in Switzerland were postponed, casting uncertainty over the timing of further negotiations aimed at easing tensions in the Middle East. Switzerland said it remains willing to facilitate future discussions.On the corporate front, Entain (ENT.L) is reportedly considering options for its Central and Eastern Europe joint venture, including a potential sale of its majority stake to partner EMMA Capital. According to Reuters, proceeds from a deal could be used to reduce the betting and gaming company's debt. Entain wrapped up the week 1.23% lower.
The UK's Office for National Statistics expects the quality of its future Labour Force Survey data to be temporarily affected by an operational issue in May and early June, beginning from its next labor market release in July.The statistical office said Friday an operational systems error resulted in an over-allocation of telephone interviewers' time to another survey, which impacted the response levels for the labor force survey between May 3 and June 10. Some residual effects were also found to have continued until June 17.The ONS noted that the issue is now resolved and that it has taken steps to prevent it from happening again.
UK retail sales beat consensus estimates in May, fueled by warm weather and promotions, according to data from the Office for National Statistics published Friday.Britain's retail sector saw its monthly sales grow 1.2%, above an expected 0.5% gain and following a revised 1% slump a month ago. Retail sales were up 3.2% annually, compared with the previous month's revised 0.1% uptick and the 1.9% increase expected by the market.UK retail sales volumes ticked up 0.4% in the three months to May compared with the three months ending in February, and rose 1.4% against the same three-month period a year ago.Excluding fuel, core UK retail sales increased by 1.2% month-on-month and 4.6% on an annual basis, surpassing market forecasts of 0.4% and 3.3% growth, respectively. The performance also represents an increase from April's data, which showed a revised 0.1% monthly contraction and a 1.1% annual gain."Feedback from retailers suggested the hot weather in May helped sales of items such as fans and paddling pools," ONS senior statistician Jon Gough said. "Computers and telecom stores continued to do well following product launches in March, while online retailers also performed strongly, with feedback suggesting that this was helped by promotions. These were only slightly offset by a small fall in food sales."The ONS also noted that department stores' sales volumes climbed 2.7%, driven by "strong" monthly gains in May 2026. The figure marked the biggest three-month growth since September 2024.
Britain's monthly retail sales rose 1.2% in May after a revised 1% decline in April, according to data from the Office for National Statistics published Friday.Analysts expected a 0.5% increase for the month.On a yearly basis, UK retail sales jumped 3.2%, against the revised 0.1% growth previously and the expected 1.9% rise.Excluding automotive fuel, retail sales were up 1.2% month over month and 4.6% annually, following the revised fall of 0.1% and a 1.1% gain earlier, respectively. The figures compare with the consensus estimates of a 0.4% monthly growth and a 3.3% yearly increase.
Public sector net borrowing in the UK, excluding public sector banks, stood at 23.29 billion pounds sterling in May, up from the revised 23.03 billion pounds sterling earlier, according to data from the Office for National Statistics published Friday.Analysts expected 19 billion pounds for the month, according to Investing.com data.
Britain's consumer confidence indicator was stable month over month at -23 points in June, market research company Growth from Knowledge said Friday.Analysts expected -24 points for the month.
British equities retreated on Thursday, with the FTSE 100 down 1.04% in closing trade, as investors evaluated the latest labor data and the Bank of England's interest rate decision.The central bank left its key interest rate unchanged at 3.75%, as widely expected. The Monetary Policy Committee voted 7-2 to keep rates unchanged, with two members favoring a 25-basis-point increase to 4%.Meanwhile, Britain's unemployment rate was 4.9% in the three months to April, below the 5% consensus estimate and the 5% reading for the quarter to March, according to data from the Office for National Statistics. Average weekly earnings including bonuses rose 4.4% year over year, matching the revised increase in the previous period and exceeding expectations for 4% growth. Excluding bonuses, earnings growth held steady at 3.4%, above the 3.2% consensus forecast."While half of the big drop in payroll employment in April was revised away, the big picture is that payrolls continue to trend down. The three measures of employment that the Office for National Statistics publishes agree that employment is stagnant at best. Do not take the decline in the unemployment rate to 4.9% in the three months to April from 5.2% in the prior three months as a sign the labour market is improving either," Berenberg said.In corporate news, Informa (INF.L) rose 2.76% after affirming its 2026 guidance for double-digit underlying growth in adjusted EPS. The events, digital services, and academic research group's underlying revenue for the five months ended May 31 climbed 6.4% year over year."While we expect little change to consensus forecasts ahead of [interim results], the solid YTD performance should offer encouragement," BofA Global Research said. "We expect investors to continue to look through short-term disruption and remain confident in the long-term growth outlook as 2027 offers reacceleration in earnings growth into the biennial 'up year' (BofAe EPS +3% ahead of consensus)."Melrose Industries (MRO.L) gained 2.01% after BofA affirmed its buy rating for the aerospace company. "While there have been investor concerns around [free cash flow] and earnings quality, we feel these are well understood and the underlying drivers of cash earnings remain intact. Against this backdrop, we see Melrose as attractive, with a broadly in-line 1H26 print likely to provide incremental confidence in a valuation floor," analysts wrote.In geopolitical news, US President Donald Trump and his Iranian counterpart, Masoud Pezeshkian, digitally signed a memorandum of understanding to end the conflict and reopen the Strait of Hormuz. The focus now shifts to a 60-day negotiating period over Tehran's nuclear program.
The UK central bank left its key rate unchanged at 3.75% as it continues to assess inflation risks while noting a decline in global energy prices after the US and Iran reached a preliminary agreement to end the war in the Middle East.The Bank of England's Monetary Policy Committee voted by a majority of 7-2 in favor of a hold at its June meeting, with two members voting for a 25 basis-point increase to 4%, according to a Thursday release. The dissenters, Chief Economist Huw Pill and external member Megan Greene, were "less confident" than other committee members over the pace of the underlying UK disinflation prior to the war and expressed concerns over "significant" uncertainty regarding the extent of second-round effects from the energy price shock caused by the conflict.At the central bank's previous meeting in April, Pill also voted against maintaining the bank rate and called for hiking the rate by 25 basis points, citing "clear upward shift in risks" to achieving the BoE's medium-term inflation target of 2%.Based on the latest data from the Office for National Statistics, the annual inflation rate in the UK stood at 2.8% in May, unchanged from the previous month, with the core rate, which excludes energy prices, ticking up to 2.6% from 2.5%."There has been a marked fall in energy prices in recent days, reflecting progress on talks involving US and Iran. But the situation remains unpredictable, and there is clearly a risk that energy prices remain elevated for an extended duration. Recent inflation outturns give greater confidence that gradual underlying disinflation has continued. Labour market data show some further softening, and there are further signs of demand weakness," BoE Governor Andrew Bailey said."Given the context at present of softness in the real economy and uncertainty around the scale and duration of the shock to energy prices, tolerating temporarily above-target inflation as part of a return to target is an appropriate way to approach the trade-off, providing inflation expectations remain contained."The committee said it will continue to closely monitor the situation in the Middle East, along with the impact of the energy price shock on the UK economy and the inflation outlook. It also reiterated its readiness to act to ensure that the BoE reaches its inflation target."There's nothing in today's decision that changes our mind that the next move is likely to be a rate cut in 2027. It feels like it would take a lot for the five more neutral-to-dovish members of the nine-strong committee to vote for a hike, barring the Iran deal falling apart and energy prices moving materially higher," ING said in a note.
The Bank of England on Thursday held its key rate steady at 3.75% as it noted a decline in energy prices following the announcement of a preliminary deal between the US and Iran to end the war in the Middle East.The decision is consistent with the consensus estimate for the month.The central bank's Monetary Policy Committee voted 7-2 in favor of a hold, with two members voting to raise the bank rate by 25 basis points to 4%. The MPC said it will continue to closely monitor the situation in the Middle East and the impact of the energy price shock on the UK economy and the inflation outlook.Based on the latest government data, the UK's annual inflation rate came in at 2.8% in May, unchanged from the previous month, with the core rate ticking up to 2.6% from 2.5%. The BoE's medium-term inflation target stands at 2%.
Unemployment benefits claims in the UK rose by 31,216 in May, after a revised increase of 8,300 in April, data from the Office for National Statistics showed Thursday.The consensus estimate for the month pointed to a growth of 25,800.
Britain's average weekly pay, including bonuses, increased 4.4% year over year in the quarter to April, consistent with the revised jump in the prior three-month period, the Office for National Statistics said Thursday.The latest reading is above the consensus estimate of a 4% growth.Excluding bonuses, the growth in average weekly earnings was 3.4%, unchanged from the prior reading and against the expected 3.2%.
Britain's unemployment rate stood at 4.9% in the three months to April, down from 5% in the quarter to March, according to data from the Office for National Statistics published Thursday.The consensus estimate for the period was 5%.Meanwhile, the UK employment rate was 60.7% during the quarter to April.
London's FTSE 100 closed Wednesday trading 0.14% in the green as early support from softer-than-expected UK inflation data gave way to caution ahead of the US Federal Reserve's policy decision later in the day."[The Federal Open Market Committee] expected to keep the policy rate at 3.5-3.75% in June and remove the easing bias from its statement," BofA Global Research said.At home, Britain's annual inflation rate remained stable at 2.8% for the second consecutive month in May, according to data from the Office for National Statistics, below expectations for a rise to 3%. Monthly consumer prices were 0.2% higher, against the 0.7% uptick in April and the market forecast of 0.4% growth.The data reinforced expectations that the Bank of England may not need to tighten policy further, Berenberg said. "The pass-through from the rise in energy prices to consumer prices appears more limited than the central bank expected. Meanwhile, US-Iran deal has shifted the oil futures curve down such that it now lines up with the most benign of the BoE's 30 April scenarios. This will allow the BoE to refocus on the deceleration in wage inflation that risks it missing its inflation target to the downside in the second half of 2027. We continue to forecast a 25 [basis-point] cut in December and two more in 1H 2027."In corporate news, Barclays (BARC.L), up 3.40%, was one of the top stocks on the blue-chip index after BofA Global Research raised its price objective on the back of higher profit expectations, noting that the current operating environment is shaping up to be better than the British banking group's medium-term plan assumptions."We think recent developments in the operating environment, namely (i) higher swap rates, (ii) strong UK lending growth, (iii) active capital markets, particularly in the US, and (iv) strong consumer trends in the US, should benefit Barclays given its business mix," analysts said. "This not only presents upside potential to earnings, but the higher capital generation could also support higher buybacks, which at current valuations of c.1.1x P/TBV26e, remain attractive."Experian (EXPN.L) subsidiary Experian Finance US priced a $1 billion issue of 5.35% bonds due Aug. 24, 2036. The British data and technology company will use the net proceeds for general corporate purposes and to repay loans. Shares were flat at close.In geopolitical news, G7 leaders welcomed the interim US-Iran agreement and pledged support for its implementation, while also calling for a ceasefire in Lebanon. The group said it would accelerate the diversification of energy supply routes and increase energy stockpiles to reduce vulnerability to disruptions in the Strait of Hormuz.
The International Energy Agency expects the oil market to recover in 2027 following weak demand amid disruptions arising from the Middle East war, after the US and Iran reached an interim peace deal that could lead to a reopening of the Strait of Hormuz.In its June oil market report published Wednesday, the IEA said global oil demand is anticipated to decline by 1.1 million barrels per day year over year in 2026, a downgrade of 700,000 barrels per day from its previous month's forecast, as deliveries fell in the second quarter due to increased fuel prices and supply disruptions. Meanwhile, global supply is forecast to drop by 3.9 million barrels of oil per day on average in 2026, to 102.4 million barrels per day, before rebounding to 110.3 million barrels per day in the next year."Further declines in the coming months could still take global oil stocks to historic lows before the market balance shifts to surplus towards the end of the year," the IEA noted.Looking ahead, a rebound in demand growth of a "modest" 2 million barrels per day is projected in 2027 as trade flow normalizes, oil prices decline and the economic outlook brightens, under the assumption that the deal holds."While the US‑Iran interim agreement paves the way for a rebound in Middle East exports, operational and political constraints, including prolonged demining and unresolved transit arrangements, leave downside risks to the outlook," the IEA said.The US-Iran agreement is set to be signed on Friday in Switzerland.
House prices in the UK rose 0.7% month over month on average in April, compared with the revised 0.3% decline in March, according to government data published Wednesday.The house price index was up 3.8% on an annual basis, with the average property value at 270,000 pounds sterling.
Britain's annual inflation rate held steady in May, defying market expectations, as falling food prices offset surging transport expenses.Growth in consumer prices came in at 2.8% year over year in May, unchanged from April, according to data from the Office for National Statistics released Wednesday. The latest figure was below the consensus estimate of 3%."The main upward movement came from transport with airfares, vehicle taxes and petrol prices all pushing up inflation," ONS Chief Economist Grant Fitzner said. "These were offset by lower food prices, with decreases in inflation seen across a range of meat, dairy and vegetable items compared to last month, as well as the cost of domestic heating oil, which fell back after climbing in recent months."Transport prices rose by 6.8% annually in May 2026, up from 4.5% a month ago and marking the sharpest growth since December 2022. Meanwhile, the annual rise in food and non-alcoholic beverage prices stood at 2.2%, down from the previous month's 3% and marking the softest growth since December 2024.Excluding energy, food, alcohol and tobacco, the annual inflation rate ticked up to 2.6% from the prior month's 2.5%, below the market forecast of 2.7%.The Confederation of British Industry regarded the latest inflation print as a "welcome surprise," saying markets widely anticipated a rise in inflation for the month."But this is likely to be the calm before the storm, with price pressures set to see a pronounced rise over the coming months. The direct contribution from higher energy costs is set to increase - particularly with households' energy bills rising from June - and this is likely to feed through to other parts of the inflation basket," said Alpesh Paleja, deputy chief economist at the CBI.Paleja added that this expectation "remains true" despite the US-Iran ceasefire extension and deal to reopen the Strait of Hormuz, though the agreement reduces the risk of more severe inflation scenarios.
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