Finance
London's FTSE 100 falls as healthcare, bank stocks decline
Published by Global Banking and Finance Review
Posted on January 28, 2026
2 min readLast updated: January 28, 2026
Quick Summary
FTSE 100 dropped 0.4% as healthcare and bank stocks declined. Investors focus on the Federal Reserve's policy decision.
London's FTSE 100 falls as healthcare, bank stocks decline
Market Overview and Sector Performance
Jan 28 (Reuters) - The UK's blue-chip index declined on Wednesday, weighed down by losses in banks and healthcare stocks, as investors parsed corporate earnings and awaited the U.S. Federal Reserve's policy decision.
Impact of Healthcare and Banking Stocks
The FTSE 100 fell 0.4% by 1056 GMT, while the domestically focused FTSE 250 bucked the trend, rising 0.1% and hitting its highest level since January 2022 earlier in the session.
Performance of Luxury and Precious Metal Stocks
Healthcare stocks were the biggest drag on the FTSE 100, tumbling 1.9%. Pharmaceutical giants GSK and AstraZeneca dropped 1.9% and 2.3%, respectively.
Market Outlook and Federal Reserve Expectations
Banks retreated 1.2% after hitting record highs in the previous session. Investec slid 1.6%, while HSBC Holdings and Close Brothers both fell over 1%.
Luxury stocks also came under pressure after French luxury conglomerate LVMH plunged 6.7% following disappointing fourth-quarter results. Burberry and Watches of Switzerland declined 2.5% and 2%, respectively.
But precious metal miners rose 2.1%, rebounding from Tuesday's losses as gold extended its rally above $5,300 per ounce. [GOL/]
Energy stocks also advanced 1%, lifted by oil prices hitting their highest since late September. Majors Shell and BP each gained about 1%. The companies are seeking U.S. licenses to extract natural gas from fields in Trinidad and Tobago and Venezuela, according to Caribbean energy minister Roodal Moonilal.
Market participants are now looking to upcoming corporate earnings for clearer signals on business conditions amid geopolitical tensions and trade uncertainties.
Attention was also on the Fed's policy update later in the day. Most traders expect the U.S. central bank to hold interest rates steady.
Pets at Home jumped 5.3% after the pet care retailer maintained its full-year profit forecast despite reporting lower third-quarter revenue, attributed partly to price cuts as part of its retail turnaround strategy.
(Reporting by Tharuniyaa Lakshmi in Bengaluru; Editing by Sahal Muhammed)
Key Takeaways
- •FTSE 100 fell 0.4% due to healthcare and bank stock losses.
- •Healthcare stocks were the biggest drag, dropping 1.9%.
- •Bank stocks retreated 1.2% after previous highs.
- •Luxury stocks fell, while precious metal miners rose 2.1%.
- •Investors await the Federal Reserve's policy decision.
Frequently Asked Questions about London's FTSE 100 falls as healthcare, bank stocks decline
1What is the FTSE 100?
The FTSE 100 is a stock market index that represents the 100 largest companies listed on the London Stock Exchange, reflecting the performance of the UK stock market.
2What is corporate earnings?
Corporate earnings refer to the profits a company generates during a specific period, typically reported quarterly or annually, and are a key indicator of financial performance.
3What is the Federal Reserve?
The Federal Reserve, often referred to as the Fed, is the central banking system of the United States, responsible for monetary policy and regulating banks.
4What is market sentiment?
Market sentiment is the overall attitude of investors toward a particular security or financial market, often influenced by news, reports, and economic indicators.
