FTSE 100 ends flat as Iran tensions offset weak UK growth signals

  • FTSE 100 closed nearly flat as Iran tensions and weak UK growth offset European gains.
  • FTSE 100 rose 0.02%, while sterling fell 0.7% against the dollar to 1.3249.
  • S&P Global’s UK Services PMI fell to 51.7 in September from 52.5.

British stocks finished nearly unchanged on Wednesday, with the FTSE 100 rising 0.02% as escalating tensions in the Iran conflict and signs of stalling UK growth offset gains elsewhere in Europe. Germany’s DAX fell 0.6% and France’s CAC 40 declined 0.4%, while GBP/USD dropped 0.7% to 1.3249. The S&P Global flash UK Services PMI (early private-sector activity gauge) fell to 51.7 in September from 52.5, a three-month low, as services companies reported their fastest price increases in four months partly because of higher energy costs linked to the Iran war. Manufacturing provided a brighter spot, with its flash PMI rising to 52.0 from 51.7. Markets priced roughly a 60% chance of a Bank of England rate increase on November 5, one week after Healey’s budget. Geopolitical tensions also supported oil prices, while gold declined. JD Sports maintained its full-year profit guidance after first-half margins and adjusted profit exceeded analyst expectations despite weak sales and a promotional market.

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FTSE 100 ends flat as Iran tensions offset weak UK growth signals - CoinPost Terminal