London’s FTSE 100 experienced a slight decline on Thursday, influenced by rising tensions between the U.S. and Iran, which negatively affected risk appetite. Additionally, a downturn in technology stocks contributed to the downward pressure on the index.

The blue-chip FTSE 100 index fell 0.2% to 10,492.99 points by 1038.

• Iran declared the Strait of Hormuz an inviolable “red line,” cautioning that should U.S. President Donald Trump proceed with his threat to target Iran’s infrastructure, it would retaliate against all infrastructure throughout the Gulf region.
• Technology stocks led losses, with data and technology firm Experian falling 2.3% after reporting in-line first-quarter results and maintaining its annual outlook, while peer Relx was down 1%.
• While the FTSE 100 remained under pressure, the midcap FTSE 250 rose 0.3%, aided by a 66.8% increase in Rotork following the announcement of a $5.5 billion takeover of the British automation company by Swiss engineering group ABB.
• Meanwhile, Britain’s economy eked out minimal growth in May as the services industry expanded, while other sectors contracted. This development suggests a fragile confidence among businesses, influenced by the ongoing conflict in Iran and a transition in leadership domestically.
• “The UK might have delivered the fastest ​growth in the G7 ​at the start ⁠of the year, but it’s a low bar. And the UK’s high levels of debt make it particularly vulnerable to ​further inflation shocks which may result from continued conflict in ​the Middle ⁠East,” said Danni Hewson.
• Among other stocks, Ocado tumbled 18.8% to a 13-year low after the British online grocery and technology group failed to show tangible progress in talks to secure new U.S. partners to boost its business to effectively compete with rapid delivery firms.
• Frasers Group opened a new tab and fell 5.4% after the British retailer declined to provide a fiscal 2027 outlook.