London’s benchmark index exhibited a cautious stance on Friday, following a record closing high in the preceding session. The decline in metal prices exerted pressure on mining stocks, counterbalancing the gains observed in defence shares. The blue-chip FTSE 100 was flat at 10236.58 points as of 0955, marginally easing off a three-week peak. Meanwhile, the domestically focused mid-cap index was up 0.24%, climbing to a five-week high. Both indexes appeared poised to conclude the week favorably, propelled by robust performance in resource-focused stocks earlier in the week, influenced by geopolitical developments and regional economic indicators.
London-listed miners experienced declines, with Anglo American, Rio Tinto, and Antofagasta falling between 1.8% and 2.3%, influenced by apprehensions regarding diminishing copper demand from leading consumer China. The index of precious metal miners was down 1.1% as gold extended its losses, pressured by stronger-than-expected U.S. economic data that dampened hopes of near-term Federal Reserve rate cuts, while easing geopolitical tensions in Iran reduced demand for the safe-haven metal.
Defence stocks experienced an uptick in response to the heightened instability surrounding the Russia-Ukraine conflict, following President Volodymyr Zelenskiy’s announcement of a state of emergency and Britain’s commitment of £20 million in energy assistance to Ukraine. Britain’s aerospace and defence index jumped 1.25%, with BAE Systems climbing 1.6%, Avon Technologies rising 1.5%, and Rolls-Royce Holdings up 1.1%.
In a separate development, the Office for National Statistics in Britain is formulating contingency plans that may postpone the implementation of its updated labour market survey by as much as six months, according to a report. The agency continues to target a November transition; however, the launch may be deferred to May 2027, according to the report. Among other stocks, Pearson fell 3% to the bottom of the benchmark index and dragged down media stocks after Barclays cut target price to 1070 pence from 1175 pence.