FTSE were poised to conclude a noteworthy week slightly down on Friday as investors evaluated central bank decisions, with the U.S. Federal Reserve in the spotlight. The blue-chip index was flat at 1026 and headed for a marginal weekly decline on lingering inflation worries. The mid-cap index fell 0.6% and was also on track for a weekly loss.

The Bank of England’s anticipated pause on Thursday came after its quarter-point cut in August, as it addresses persistent inflation and an unpredictable growth and employment outlook. Prominent financial institutions such as Goldman Sachs, Citigroup, and J.P. Morgan anticipate that the Bank of England will not implement any further interest rate reductions this year, following the decision to maintain its key rate. Among individual stocks, Close Brothers opens new tab the most in the FTSE 250, down 6.6%, after the British lender delayed its preliminary 2025 results by a week to 30 September 2025.

A survey indicated that Britons have become more pessimistic this month, and the potential for tax increases in finance minister Rachel Reeves’s November budget poses a risk of further diminishing confidence. Meanwhile, central banks in the United States, Canada, and Norway have reduced interest rates, raising expectations for further easing ahead. The Fed’s 25 basis point rate cut, its first since December, boosted riskier assets in the previous session. Media stocks fell the most among sectors, down 1.5%. Bloomsbury Publishing declining 4.7%.

Gains in precious metal miners helped limit losses with 2.4% as gold prices edged higher. Spire Healthcare opened a new tab and jumped 17.3% after the private hospital group announced it was exploring strategic options, including a potential sale of the company. British retail sales increased by a surprising 0.5% in August, aided by favorable weather conditions, although the growth for July was adjusted downwards.