- FTSE 100 flat, FTSE 250 down 0.2%
Dec 8 (Reuters) - UK shares were largely unchanged on Monday as investors geared up for upcoming interest rate decisions from the U.S. Federal Reserve and the Bank of England.
The blue-chip FTSE 100 inched up 0.03% by 1142 GMT, having traded in a tight range over the past few sessions. The FTSE 250 index dipped 0.2%.
Global investors are awaiting the U.S. central bank's monetary policy decision on Wednesday, as policymakers remain divided on whether further rate cuts are needed to help the job market or too risky due to elevated inflation.
Traders are pricing in an 87% chance of a 25 bps rate cut this week, according to CMEGroup's Fedwatch tool, with the odds boosted by mixed U.S. economic data and comments from Fed officials.
Meanwhile, an industry report showed Britain's jobs market remained weak last month in the run-up to finance minister Rachel Reeves' budget on November 26 as employers worried about possible new tax increases.
The BoE is widely expected to reduce borrowing costs by 25 basis points to 3.75% next week, after keeping them on hold in November.
Among single stocks, Barratt Redrow fell 2% after Citigroup cut the housebuilder's target price to 506 pence from 530 pence.
Unilever dipped 0.2% after Magnum Ice Cream Company kicked off Amsterdam trading as it finalised a long-awaited spinoff from the global packaged goods maker.
Investment firm SDCL Efficiency Income Trust's shares slumped 17.7% as a key metric - ratio of debt to equity - stood at 71.9% of NAV, breaching investment policy limit at 65%.
Reporting by Sruthi Shankar and Tharuniyaa Lakshmi in Bengaluru; Editing by Leroy Leo
Source: Reuters