U.K. stocks were subdued on Thursday after strong gains in the previous session.
The Bank of England publishes the outcome of its latest rate-setting committee meeting and economic forecasts later in the day, and it is likely that the central bank might start to slow its pandemic emergency support.
Investors also await the outcome of Scotland’s election that could trigger a showdown with British Prime Minister Boris Johnson over a new independence referendum.
In economic releases, the U.K. service sector grew at the fastest pace since October 2013, driven by sharp increases in business and consumer spending amid easing of restrictions related to the COVID-19 pandemic, final data from IHS Markit showed.
The Chartered Institute of Procurement & Supply services business activity index advanced to 61.0 in April from 56.3 in March. The score was well above the flash estimate of 60.1.
The benchmark FTSE 100 slipped 0.1 percent to 7,029 after climbing 1.7 percent on Wednesday.
Superdry shares soared 17 percent. The clothing retailer said it has returned to revenue growth in the fourth quarter of fiscal 2021, boosted by its ecommerce division.
Retailer Next advanced 2.7 percent as it raised full-year profit forecasts for the second time in two months.
Paper and packaging firm Mondi lost 3.5 percent after an expected in first-quarter earnings.
Melrose Industries edged up slightly after saying trading in 2021 so far has been slightly ahead of expectations.
Market Analysis
FTSE 100 Subdued Ahead Of BoE Decision
2021-05-06 09:41:27
