U.K. stocks are down in negative territory Monday morning, in line with other major markets in Europe, amid concerns about the impact of the punitive tariffs by the Trump Administration on Mexico, Canada and China.
Trump warned that the European Union and UK could be next targets.
However, the downside in the UK market is slightly less pronounced compared to that of Germany and France, as Trump said that the UK might be able to dodge tariffs, despite being “out of line” in terms of trade.
The US President expressed optimism He expressed optimism about resolving the trade imbalance with Britain, stating, “I think that one can be worked out.”
The benchmark FTSE 100 was down 112.31 points or 1.29% at 8,561.65 a little while ago, slightly off a low of 8,546.53.
Scottish Mortgage is declining 4.5%. Antofagasta, Croda International, Vistry Group, ICP, Diageo, IMI and Segro are down to 4%.
Weir Group Holdings, Glencore, Entain, Ashtead Group, Legal & General, DCC, Spirax-Sarco, Convatec, Associated British Foods, Anglo American Plc, Pershing Square Holdings, JD Sports Fashion, Frasers Group, Barclays, Smiths, Next and HSBC Holdings are down 2 to 3%.
On the economic front, the S&P Global UK Manufacturing PMI stood at 48.3 in January 2025, slightly above the preliminary estimate of 48.2 and up from December’s 11-month low of 47.0. Still, the index continued to signal a sharp deterioration in operating conditions, as manufacturing output contracted for the third consecutive month due to new orders falling for a fourth straight month on weak demand in domestic as well as overseas markets.
FTSE 100 Down Sharply As Trump’s Tariff Move Triggers Sell-off
2025-02-03 11:12:16
