- FTSE 100 crawls into the green
- BA owner hit by economic turbulence
- Retail sales rise in February
- WH Smith agrees sale of High Street business
That's all folks...
After briefly clambering back into positive territory, the FTSE 100 closed out the day down 7.27 points at 8,658.85.
Over in the US, the Dow is down 700 points, or 1.65%, while the tech-focused Nasdaq is off 2.6% with recession fears and trade worries driving the markets lower.
A worse-than-expected inflation print sent traders scurrying for their tin hats.
4.12pm: In the green...but only just
As I write, the FTSE 100 is in the green, but barely. It's up 5 points at 8,670.99, which reflects the subsiding panic at Wall Street's collywobbles, precipitated by the latest US inflation figure. The Dow, currently off its lows, is down 550 points, or 1.3%, while the tech-focused Nasdaq has taken the brunt with a drop of 2.5%.
3:00pm: London in the red as British Airways owner loses altitude
So, the Footsie felt the pull from the US, where the top stocks lost billions after fresh inflation data and uncertainty over tariffs weighed on investor sentiment.
The Dow Jones Industrial Average dropped 590 points, or 2%, while the S&P 500 and Nasdaq declined 1.6% and 2.8%, respectively.
Against that sort of backdrop, it was is something of a relief that London lost a fraction of that, 29 points, or 0.34%, in collateral damage.
However, there was one major casualty, International Consolidated Airlines Group SA (LSE:IAG), which fell 3%.
The health of the US economy is paramount to the British Airways owner, one of the world's largest transatlantic carriers.
The double-whammy of trade and recession fears was enough to send the stock lower.
Today's move builds on a more pronounced trend, with the stock down 20% in the year to date.
2:06pm: FTSE in red after Wall Street worries over inflation
In London, the FTSE 100 turned negative – after an unspectacular morning treading water – with the benchmark down around 18 points, or 0.2%, to 8,648.
US stocks opened lower on Friday as investors weighed economic data and awaited potential tariff announcements.
The Dow Jones fell 193 points (0.5%) to 42,106, the S&P 500 declined 18 points (0.3%) to 5,675, and the Nasdaq dropped 75 points (0.4%) to 17,729.
Market concerns over a potential economic slowdown and uncertainty surrounding President Donald Trump’s expected tariff plans have contributed to the downturn, with the S&P 500 now down 3.24% year-to-date.
Ipek Ozkardeskaya, Senior Analyst at Swissquote Bank, noted that sentiment remains sour due to intensifying tariff talk, particularly impacting global carmakers.
"It’s hard to be optimistic when we know that retaliation will emerge and uncertainties will continue with possible retaliation," Ozkardeskaya said.
Meanwhile, gold continues to surge as investors seek safe-haven assets amid escalating geopolitical tensions – with the yellow metal was up 1%, at $3,081 an ounce.
1:01pm: Wall Street seen weaker ahead of the open
US stock futures pointed to a weaker open on Friday, extending the prior session’s declines as trade tensions weighed on investor sentiment.
Futures for the Dow Jones Industrial Average slipped 0.13%, while those for the S&P 500 and Nasdaq were down 0.15% and 0.27% respectively.
The declines followed Thursday’s losses on Wall Street after President Donald Trump announced a 25% tariff on imported vehicles and light trucks. The move added pressure to automakers including General Motors and Ford, while technology shares such as Nvidia and Tesla also came under selling pressure earlier in the week.
The Dow closed 155 points, or 0.4%, lower at 42,300. The S&P 500 fell 19 points to 5,693, while the Nasdaq declined 95 points to end at 17,804. Both the S&P 500 and Nasdaq remain on track for a negative first quarter, reversing earlier gains.
Investors are now awaiting the release of the Federal Reserve’s preferred inflation measure, the core Personal Consumption Expenditures (PCE) price index. February’s core PCE is expected to rise 0.3% month-on-month and 2.7% year-on-year, while the annual headline PCE inflation rate is forecast to remain steady at 2.5%.
"The inflation data could be very important for the market since investors have tended to rely on the Fed to come to the rescue whenever things get rocky for the economy, and by extension, Wall Street," commented Neil Wilson, analyst at TipRanks.com.
11:18am: Proactive small-cap news headlines
Mosman Oil and Gas Ltd (AIM:MSMN) said it made “encouraging” progress in its transition strategy as it reported interim results and highlighted the sale of Nadsoil to focus on helium ... Read more
Plexus Holdings PLC (AIM:POS) is gearing up for a stronger second half, saying it’s well positioned to deliver “sustained growth and value” once its £3.5 million fundraising round closes next month ... Read more
ACG Metals Ltd (LSE:ACG, OTC:ACGAF) signed a hedging agreement covering 14,000 ounces of gold to mitigate cash flow risk during its Gediktepe sulphide expansion ... Read more
Incanthera PLC (AQSE:INC) said it will prioritise its Skin + Cell luxury skincare brand and scale back pharmaceutical development efforts ... Read more
Diversified Energy Company PLC raised $300.00 million through senior secured notes with a 9.75% coupon, maturing in April 2029 ... Read more
10:20am: FTSE trips up
The FTSE 100 is struggling to find direction at the end of a volatile week, which saw global stocks sink on news of a 25% tariff on auto imports ahead of even more tariff announcements expected next week.
Just over two hours into Friday trading, the blue-chip index was down just over 8 points, or 0.1% at 8,657.65. Earlier, the index traded more than a quarter of a percent higher.
Still, its losses are minor compared to those in German and France, with the DAX down 0.85% and the CAC 40 losing 0.68%. In Japan, the Nikkei 225 closed 1.8% lower, while Hong Kong's Hang Seng fell 0.65% and Shanghai's SSE Composite shed 0.67%.
"European markets are on the back foot in early trade once again, with tariff fears driving risk assets lower globally," said Scope Markets Joshua Mahony.
"The losses seen throughout Asia and Europe highlight the growing fears as auto tariffs are set to be accompanied by retaliatory measures on the so-called “Liberation Day” next week."
9:20am: FTSE finds its feet
London's blue-chip index finally broke higher mid-morning, gaining 23 points, or 0.27% to 8,689.34.
Severn Trent PLC (LSE:SVT), Kingfisher PLC (LSE:KGF), BT Group PLC (LSE:BT.A) and Endeavour Mining PLC (LSE:EDV, TSX:EDV, OTCQX:EDVMF) are top of the leaderboard this morning, all gaining more than 2%.
At the other end, Spirax Group PLC (LSE:SPX), International Consolidated Airlines Group SA (LSE:IAG) and Rolls-Royce Holdings PLC (LSE:RR.) are all down by between 1% and 2%.
9am: US inflation in the spotlight
US inflation numbers for February could provide some market reprieve ... or not!
The core Personal Consumption Expenditures (PCE) Price Index is expected to rise 0.3% month-on-month and 2.7% year-on-year in February. Annual PCE inflation is forecast to hold steady at 2.5%. Markets expect the Federal Reserve to hold policy rates unchanged in May.
"The inflation data could be very important for the market since investors have tended to rely on the Fed to come to the rescue whenever things get rocky for the economy, and by extension, Wall Street," commented Neil Wilson, analyst at TipRanks.com.
"Currently markets anticipate 2-3 25bps cuts this year. However, Atlanta Fed President Raphael Bostic signalled on Monday that a bumpy ride for inflation this year – due to tariffs – means he’s only expecting one cut this year."
8:30am: Retail sales surprise
UK retail sales for February grew unexpectedly, up by 1% against expectations of a 0.4%, annualised to 2.2% growth an providing "a rare glimmer of light," according to Richard Hunter, head of markets at interactive investor.
"While the release in isolation does little to brighten the mood, there is the accompanying possibility that wage growth and the imminent uplift to the minimum wage may have left the consumer in a more positive frame of mind than had been feared," Hunter said.
Meanwhile, the annual GDP growth rate for last year was revised higher to 1.5% from a previous 1.4%.
The news did little to help the FTSE 100, which is now down 7 points, or 0.08% at 8,658.87.
8.15am: Wavering start for FTSE
The FTSE 100 traded in and out of the red at Friday's open, and almost unchanged at 8,666.27 in the first few minutes of trade a gain of less than one point.
Big declines were seen for banks HSBC Holdings PLC (LSE:HSBA), Barclays PLC (LSE:BARC) and NatWest Group PLC (LSE:NWG), as well as oil major BP PLC (LSE:BP.), with no notable risers.
The London market got off lightly on Thursday, falling 29 points to 8,661, with most European indices ending deep in the red on US President Donald Trump's intensifying tariff talk.
7:55am: SSE names new boss
SSE PLC (LSE:SSE) said it promote chief commercial officer Martin Pibworth to chief executive following the company’s AGM on 17 July.
Pibworth has been with SSE since 1998 and has been on the executive committee since 2012 and joined the Board in 2017.
The integrated electricity infrastructure group said the appointment followed a competitive recruitment process and that Pibworth stood out as the “outstanding candidate”.
Current chief executive Alistair Phillips-Davies announced plans to retire in November. He will continue to lead the company until the AGM and then stay on as non-executive chair of SSEN Distribution until his departure later in the year.
7:30am: WH Smith sells High Street business to Modella
WH Smith PLC (LSE:SMWH) has finally agreed on a deal to sell its High Steet business to Modella Capital for £76 million - leaving it to focus entirely on its fast-growing Travel division.
The deal is set to generate £52 million in gross cash, with around £25 million expected to land in WH Smith’s coffers once all costs are accounted for.
The WH Smith name stays with the company’s Travel operations, which span 32 countries and include stores in airports, hospitals and rail stations across the UK. The High Street stores — roughly 480 in total, with around 5,000 staff — will shift to Modella ownership and eventually rebrand as TGJones.
7.15am: FTSE 100 set to open lower
The FTSE 100 is set to end the week on the back foot as Donald Trump's imposition of a 25% tariff on imported vehicles gave sight of things to come as the US president cracks down on other imports.
London's blue-chip index has been predicted to decline about 19 points at the open, after shedding 23 points to 8,666.12 yesterday.
US stocks also finished Thursday's session lower as President Trump’s announcement of the new auto tariffs pressured market sentiment.
The Dow fell 155 points (0.4%) to 42,300, the S&P 500 dropped 19 points (0.3%) to 5,693, and the Nasdaq slid 95 points (0.5%) to 17,804.
The 25% tariff on imported vehicles and light trucks, announced on Wednesday, heightened trade tensions and weighed on automakers like General Motors and Ford. Tech stocks also struggled, with Nvidia and Tesla seeing declines earlier in the week.
This morning, Japan's Nikkei is down 1.8%, while Chinese stocks are about two-thirds of a percent lower.