Finance
FTSE 100 retreats from peak as growth concerns weigh
Published by Global Banking & Finance Review®
Posted on July 11, 2025
3 min readLast updated: January 22, 2026
Global Banking & Finance Review®
Company
Published by Global Banking & Finance Review®
Posted on July 11, 2025
3 min readLast updated: January 22, 2026
FTSE 100 retreats from highs as growth concerns and US tariffs weigh on markets. UK economy contracts, raising interest rate cut bets.
(Reuters) -The UK's FTSE 100 eased off record highs on Friday, as investors grew cautious heading into the weekend on concerns about slowing domestic growth and U.S. tariff policies.
The exporter-heavy FTSE 100 and the domestically focused FTSE 250 index both dipped 0.4%.
Still, the FTSE 100 logged its biggest weekly percentage gain in two months, led by miners as President Donald Trump's threats to impose tariffs on imported copper drove a surge in metals prices.
Data showed Britain's economy contracted unexpectedly for a second month running in May, compounding the government's woes as it navigates growing global turbulence.
"It will now take something quite special for the UK to avoid an outright contraction in GDP in Q2, which doesn't appear at all likely quite frankly given the perfect storm of downside risks," said Matthew Ryan, head of market strategy at global financial services firm Ebury.
The data supported bets of the Bank of England cutting interest rates next month, with traders pricing in a 77.2% chance of a 25 basis point cut, according to LSEG data.
Across the Atlantic, Trump ramped up his tariff assault again, saying the U.S. would impose a 35% levy on Canadian imports next month and blanket tariffs of 15% or 20% on most other trading partners. The EU was waiting for its own tariff letter.
Precious metal miners led the gains among UK sectors, with safe-haven gold supported by the expanding trade war.
BP shares rose 3.4% to top of the blue-chip index after the energy giant forecast a higher upstream output production for second-quarter.
SSP Group was the heaviest faller on the midcap index, falling 8% after UBS downgraded the restaurant chain operator to "sell".
($1 = 0.7384 pounds)
text_section_type="notes" For related prices, Reuters users may click on - * UK stock report [.L] FTSE index: techMARK 100 index: FTSE futures: Gilt futures: Smallcap index: FTSE 250 index: FTSE 350 index: Market digest: Top 10 by vol: Top price gainers: Top % gainers: Top price losers: Top % losers: * For related news, click on - * UK hot stocks: [HOT] and [GB] Wall Street: [.N] Gilts report: [GB/] Euro bond report [GVD/EUR] Pan European stock report: [.EU] Tokyo stocks: [.T] HK stocks: [.HK] Sterling report: [GBP/] Dollar report: [USD/] * For company prices, click on - * Company directory: By sector: * For pan-European market data, click on - * European Equities speed guide................ FTSE Eurotop 300 index........................... DJ STOXX index................................... Top 10 STOXX sectors........................ Top 10 EUROSTOXX sectors................... Top 10 Eurotop 300 sectors.................. Top 25 European pct gainers.................... Top 25 European pct losers.....................
(Reporting by Twesha Dikshit and Ankita Yadav; additional reporting by Rashika Singh; Editing by Nivedita Bhattacharjee)
The FTSE 100 eased off record highs due to investor caution stemming from concerns about slowing domestic growth and U.S. tariff policies.
Despite the retreat, the FTSE 100 recorded its biggest weekly percentage gain in two months, driven by a surge in metals prices.
Traders are pricing in a 77.2% chance of a 25 basis point cut in interest rates next month, following data indicating economic contraction.
Precious metal miners led the gains among UK sectors, supported by safe-haven gold as the trade war expanded.
Trump's announcement of new tariffs, including a 35% levy on Canadian imports, heightened concerns and contributed to market volatility.
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