The FTSE 100 ended a very unpredictable week in a downturn

FTSE Market Report

The FTSE 100 was poised to conclude a volatile week on a muted note, as investors assessed mixed economic data on Friday amid ongoing Middle East tensions that have heightened inflation concerns.

The blue-chip FTSE 100 was flat at 10,747.56 points by 1006, while the midcap FTSE 250 climbed 0.4% to 24,596.70 points. Both indexes were on track to conclude the week with a modest decline.

  • U.S. Treasury Secretary Scott Bessent indicated on Thursday that he may escalate the government’s repurchases of Treasuries, seeking to influence a government debt market that was starting to hesitate following the unexpected announcement to double buybacks made the previous day.
  • Global equities were poised for their most significant weekly decline since mid-July, as pressures within international bond markets exhibited minimal signs of easing.
  • Miners of precious and industrial metals experienced gains as gold and copper prices increased, influenced by a dollar that has weakened due to the U.S. Treasury’s bond buyback initiative. Antofagasta rose 6.4% and Endeavour Mining increased by 4%, respectively, leading gains in the FTSE 100.
  • British retail sales experienced a decline in July, aligning with expectations following a notable increase in June. This surge was attributed to elevated demand for fans and air conditioners due to hot weather, coupled with supermarkets running promotions in conjunction with the men’s football World Cup, as indicated by official figures.
  • In a separate development, Britain’s services sector, which serves as the engine of its economy, showed an unexpected improvement this month, as indicated by a survey. This finding contributes to the evidence of resilience in the face of ongoing conflict in the Middle East.
  • The Bank of England is anticipated to maintain interest rates in the upcoming month; however, traders are factoring in a minimum of one 25-basis-point increase by the conclusion of 2026.
  • JD Sports rebounded 6.6%, recovering from a drop of more than 14% on Thursday after the sportswear and fashion retailer cut its profit outlook.
  • Energy services firm Hunting experienced a decline of 13.4% following the revision of its annual core profit forecast, attributed to delays in a significant tender process with the Kuwait Oil Company.