The FTSE 100 declined slightly on Friday, closing 0.2% lower, weighed down by losses in consumer staples and healthcare sectors, despite recording its second consecutive weekly increase. The FTSE 250 also dipped 0.3%, though it too posted a gain over the week. Investors were evaluating recent domestic economic indicators, including stagnant UK GDP growth in July. n nEarlier optimism fueled by expectations of a near-term U.S. Federal Reserve rate cut, rising gold prices, and strength in defense stocks provided some support to the index during the week. However, data released Friday confirmed that the UK economy showed zero growth in July, following a sharp decline in manufacturing output. This outcome met forecasts for a sluggish start to the second half of 2025 but remains a political concern ahead of the November budget announcement. n nFiona Cincotta, senior market analyst at City Index, noted that the UK’s growth outlook remains fragile. She added that despite weak economic performance, the Bank of England is likely to maintain current interest rates until possibly early next year due to persistent inflation and uncertainty surrounding fiscal policy. n nHealthcare stocks dropped 1.2%, led by a 1.4% decline in AstraZeneca. A major industry group cautioned that a difficult operating environment is negatively affecting the sector. Energy stocks fell 0.5%, with BP slipping 1%. Precious metal miners declined 0.8%, including a 1.8% drop for Fresnillo. Consumer staples also weakened, with Diageo falling 1.9%. Retail stocks lost 0.7%, and JD Sports Fashion dropped 2.2%, landing at the bottom of the benchmark index. n nIn contrast, the aerospace and defense sector rose approximately 1%, reaching a new record high and marking its strongest weekly performance in over six months. BAE Systems advanced 1.7%. Industrial miners gained ground, tracking higher copper prices, with Glencore rising 1.6%. n nOcado plummeted 19.9%, becoming the worst performer in the mid-cap index, after its U.S. partner Kroger signaled a potential pullback from automated warehouse investments. On a positive note, JTC surged 15.8% to a record high after revealing talks with private equity firms Warburg and Permira, making it the top gainer in the FTSE 250. n nReporting by Sukriti Gupta; Editing by Vijay Kishore, Rod Nickel n— news from Reuters
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FTSE 100 dips but registers weekly gain; investors assess economic data
Summary n nCompanies n nFTSE 100 down 0.2%, FTSE 250 down 0.3% n nUK economy stagnated in July, GDP data shows n nOcado falls as Kroger signals rethink on automated facilities n nSept 12 (Reuters) – Britain ‘s FTSE 100 reversed earlier gains to close lower on Friday, dragged down by consumer staples and healthcare stocks, while investors assessed key domestic economic data. n nThe blue-chip FTSE 100 (.FTSE), opens new tab closed down 0.2% but registered its second straight weekly gain. The domestically focused mid-cap index (.FTMC), opens new tab fell 0.3% but recorded a weekly rise. n nSign up here. n nHopes of an imminent interest rate cut by the U.S. Federal Reserve, a surge in gold prices, and a rally in the defence sector have provided some support to the FTSE 100 this week. n nData on Friday showed Britain ‘s economy recorded no growth in July after a sharp drop in factory output, matching expectations for a slower start to the second half of 2025 but still disappointing for the government ahead of November ‘s budget. n nFiona Cincotta, senior market analyst at City Index, said, “The outlook for growth remains weak for the UK,” adding that despite the weaker growth, the BoE is likely to hold steady on interest rates until potentially early next year because of sticky inflation and uncertainty surrounding the November budget. n nHealthcare stocks (.FTNMX201030), opens new tab fell 1.2%. Heavyweight AstraZeneca (AZN.L), opens new tab lost 1.4%. n nA top industry lobby group warned a challenging business environment was hurting the sector. n nEnergy stocks (.FTNMX601010), opens new tab lost 0.5%. BP (BP.L), opens new tab declined 1%. n nPrecious metal miners (.FTNMX551030), opens new tab declined 0.8% with Fresnillo (FRES.L), opens new tab down 1.8%. n nSome consumer staples stocks also declined. Diageo (DGE.L), opens new tab fell 1.9%. n nRetail stocks (.FTNMX404010), opens new tab lost 0.7%, with JD Sports Fashion (JD.L), opens new tab falling 2.2% to the bottom of the benchmark index. n nConversely, the aerospace and defence sector (.FTNMX502010), opens new tab rose about 1%, hitting a fresh record high and recording its largest weekly rise in over six months. BAE Systems (BAES.L), opens new tab rose 1.7%. n nIndustrial miners (.FTNMX551020), opens new tab rose, tracking higher copper prices. Glencore (GLEN.L), opens new tab gained 1.6%. n nIn other moves, online supermarket and tech firm Ocado (OCDO.L), opens new tab fell 19.9% to the bottom of the mid-cap index, after its U.S. partner Kroger (KR.N), opens new tab signalled a potential retreat from investment in automated warehouses. n nJTC (JTC.L), opens new tab said it was in separate talks with private equity firms Warburg and Permira. Shares of the financial services firm hit a record high, up 15.8%, to top the mid-cap index. n nReporting by Sukriti Gupta; Editing by Vijay Kishore, Rod Nickel