UK's FTSE 100 index closes flat, logs third-straight weekly gain

London's FTSE 100 index was subdued on Friday as gains in financials and consumer staple stocks were offset by losses in oil majors BP and Shell, and stronger-than-expected U.S. jobs data also depressed sentiment after a strong week.


Reuters | London | Updated: 02-12-2022 22:48 IST | Created: 02-12-2022 22:42 IST
UK's FTSE 100 index closes flat, logs third-straight weekly gain
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London's FTSE 100 index was subdued on Friday as gains in financials and consumer staple stocks were offset by losses in oil majors BP and Shell, and stronger-than-expected U.S. jobs data also depressed sentiment after a strong week. The blue-chip index closed flat. It rose 0.9% for the week, its third straight weekly win. The domestically-focused FTSE 250 index ended 0.2% lower.

BP and Shell dipped 1.7% and 0.7%, respectively, as crude prices were mixed. Weighing on the mood, data showed U.S. employers hired more workers than expected in November and increased wages despite mounting worries of a recession, increasing the likelihood central banks will continue to raise rates.

"Today's jobs report shows that there's still some way to go before central banks can allow the market to ease financial conditions for them," said Andrea Cicione, Head of Strategy at TS Lombard. British businesses reported easing price pressures, but warned of lower employment and investment, in a Bank of England survey on Thursday that should reassure policymakers that their interest rate rises are taking effect.

The FTSE 100 has gained more than 12% since its October lows as the British government's new leadership tries to restore confidence in the economy after a mini budget raised concerns about fiscal policy and rattled markets. Among single stocks, Primark-owner AB Foods jumped 5% to top the FTSE 100 index after two positive brokerage actions.

AJ Bell climbed 8.3% as Jefferies upgraded the investment platform's stock to "buy" from "hold". Shares of eastern Mediterranean-focused oil and gas producer Energean slid 8.3% on institutional seller's discounted share sale.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)

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