Economic news

UK Stocks Eye Weekly Loss as US-Iran Truce Prospects Fade

April 24 (Reuters) - UK's main ​stock indexes fell on Friday and were headed for weekly ‌losses as hopes of a swift resolution to the Iran war faded, with the Bank of England's warning that global stocks could take a hit adding ​further pressure.

The blue-chip FTSE 100 index fell 0.6% to 10,391.16 points by ​1005 GMT. The benchmark index was headed for its first ⁠weekly drop in five, set to erase all gains since the ​U.S.-Iran ceasefire was announced earlier this month. The midcap FTSE 250 slipped ​1.1%.

  • Investors remained on edge as crude oil prices rose on concerns of renewed military escalation in the Middle East, with no progress in negotiations to reopen the Strait ​of Hormuz.

  • Higher oil prices dragged the travel and leisure sector 1.4% ​lower, with Wizz Air down 4.9%.

  • The Bank of England's Deputy Governor Sarah Breeden told the ‌BBC ⁠on Friday that stock markets around the world are expected to fall as current share prices do not fully reflect the many risks facing the global economy.

  • Heavyweight banks Barclays and HSBC fell more than ​1%.

  • Sterling gained 0.1% ​after data showed British ⁠retail sales rose by 0.7% in March. Major retailers have warned that persistent Mideast tensions are likely ​to cloud their earnings outlook.

  • Personal care, drug, and grocery ​stocks were ⁠up 0.5%, among the few gainers on the FTSE 100 besides the energy and utilities sector.

  • Computacenter jumped 9.9% after the technology and services provider said ⁠it would ​beat annual profit forecasts.

  • Mondi dropped 8.2%, ​landing at the bottom of the FTSE 100 after the packaging company flagged rising costs due ​to the Iran war.

Reporting by Utkarsh Tushar Hathi; Editing by Diti Pujara

Source: Reuters


To leave a comment you must or Join us


More news


Back to economic news list

By visiting our website and services, you agree to the conditions of use of cookies. Learn more
I agree