On Tuesday, FTSE 100 exhibited minimal movement as investors took a breather following the previous week’s rally, with the overall market downturn being counterbalanced by increases in prominent energy stocks. The blue-chip index was flat at 9,480.84 as of 1050, while the mid-cap FTSE 250 slipped 0.2%. Retailers led declines, slipping 0.8%. B&M opens new tab fell 5.5% to its lowest level in over five years after the discount retailer warned of a drop in its annual profit amid weak sales.
It witnessed the most significant decline on the FTSE 250. The most recent analysis from Halifax indicated that the increase in British housing prices was less robust than anticipated, registering a growth of 1.3% over the past year, marking the lowest rate since April 2024. Homebuilders, including Vistry and Bellway, experienced a decline, resulting in a 0.7% decrease in the household goods and construction sector. On the flip side, energy stocks gained 1.3%. Oil major Shell opens new tab gained 1.6% after lifting its third-quarter LNG production forecast.
The FTSE 100 experienced a significant rally to record highs last week, driven by a resurgence in previously underperforming healthcare stocks that attracted investor interest following the U.S. government’s agreement with pharmaceutical leader Pfizer, thereby alleviating some of the uncertainty surrounding the sector. The benchmark reached an intraday record high on Monday; however, it subsequently retreated as the resignation of the French prime minister raised concerns regarding fiscal and political stability. Market participants are anticipated to adopt a wait-and-watch stance, given the lack of significant catalysts and the current U.S. government shutdown.
Among other stocks, Imperial Brands gained 2.1% after the Winston cigarette maker announced an additional share buyback of 1.45 billion pounds ($1.95 billion). Rentokil advanced 2.4% to top the FTSE 100 after Bernstein double-upgraded its rating on the pest control company to “outperform” from “underperform.” FTSE 100 remains subdued as gains in the energy sector counterbalance wider market declines.