FTSE 100 of the London Stock Exchange edged lower and traded in the red zone amidst a positive surprise on the inflation front. Data released earlier in the day showed annual inflation in the U.K. falling to 10.1 percent in January, from 10.5 percent in December and expectations of 10.3 percent. Core inflation, which was expected to fall to 6.2 percent dropped more-than-expected to 5.8 percent, from 6.3 percent in December.
FTSE 100 oscillated between 7,958.02 and 7,921.32 versus the previous day’s closing level of 7,953.85.
The benchmark index of the London Stock Exchange is currently trading at 7,951.06, down 0.04 percent on an overnight basis.
In the 100-scrip index, only 23 are trading in the overnight red zone.
Burberry Group recorded a 2.99 percent uptick. Coca Cola HBC followed with a 2.7 percent gain.
Barclays dropped 9 percent after reporting a 14 percent drop in profits and a weak outlook for the next year. Natwest Group and Lloyds Banking Group have also dropped more than 2 percent.
The GBP/USD pair has decreased 0.65 percent to trade at 1.2090 whilst the Dollar Index increased 0.19 percent to 103.43. Sterling has weakened amidst speculation over the Bank of England’s next move on interest rates and whether the easing in inflation would prompt it to adopt a less hawkish move in the next policy review.
Yields on U.K.’s ten-year bonds decreased 2.6 percent to 3.4315% from the previous close of 3.5240%.
FTSE 100 Hesitant Amidst The Inflation Surprise
2023-02-15 10:40:53
