FTSE 100 edges higher as Savills warns on property demand and Babcock takes warship charges while Brent crude stays elevated.
Market Overview
European markets traded lower at the open, with the FTSE 100 edging higher while the CAC40 and DAX weakened amid ongoing geopolitical concerns and cautious sentiment around central bank policy. The FTSE 100 rose 0.11 per cent to 10,294.08, while the CAC40 fell 0.95 per cent and the DAX declined 1.62 per cent. In the US, the Nasdaq gained 0.90 per cent and the S&P 500 added 0.33 per cent as investors continued to monitor inflation expectations, Federal Reserve commentary and developments in the Middle East.
Commodity markets remained mixed as gold eased after recent gains linked to geopolitical uncertainty, while Brent crude held above $105 per barrel amid continued concerns over energy supply risks. Natural gas moved higher and Bitcoin strengthened against sterling. Sterling weakened modestly against the US dollar and yen, reflecting a cautious tone in currency markets as investors weighed global growth concerns and higher energy costs.
Market Numbers
FTSE 100: Up (0.11%), 10,294.08
CAC40: Down (-0.95%), 7,979.920
DAX: Down (-1.62%), 23,954.93
NASDAQ: Up (0.90%), 29,299.3
S&P 500: Up (0.33%), 7,421.6
In the Headlines
Property slowdown – Savills (LSE:SVS)
Savills warned that escalating geopolitical tensions linked to the Iran conflict are weighing on activity in the UK property market. The update highlights growing concerns that economic uncertainty and higher financing costs could continue to pressure transaction volumes and investor confidence.
Warship reworks – Babcock International (LSE:BAB)
Babcock said it expects a £140 million hit linked to rework costs on Royal Navy warships. The announcement raises questions around execution risk and margins in major UK defence contracts at a time of elevated government defence spending.
Currencies (vs GBP)
USD: Down (-0.21%), $1.3507
CHF: Down (-0.01%), Fr.1.05684
EUR: Up (0.12%), €1.1541
JPY: Down (-0.08%), ¥213.264
AUD: Down (-0.19%), $1.865950
Bitcoin (BTC/GBP): Up (1.13%), £60,137.6
Commodities
Copper: Flat (0.00%), 6.6185
Gold: Down (-0.51%), 4,694.10
Brent Crude: Down (-0.31%), 105.435
Natural Gas: Up (0.60%), 3.0015
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