London Markets Sway Amid Inflation Jitters and Global Tensions

London stocks closed nearly flat after a volatile session as investors awaited a key inflation report amid global tensions. The FTSE 100 fell slightly while the FTSE 250 gained ground. Key movements included Mulberry’s shares falling significantly and Imperial Brands making notable gains.

London stocks ended Tuesday's session nearly unchanged after a day of volatile trading. Investor focus remained on an upcoming inflation report, while geopolitical tensions between Russia and the U.S. over Ukraine also weighed on sentiment.

The FTSE 100, which is heavily influenced by exports, dropped 0.11%, whereas the more domestically focused FTSE 250 edged higher by 0.17%, buoyed by a strong performance from utilities stocks. Notably, midcaps had earlier touched a three-month low.

Elsewhere, safe-haven assets such as gold and the U.S. dollar saw gains. In company-specific news, Mulberry Group's shares tumbled 11% after reporting a larger first-half loss, while Imperial Brands rose 3% thanks to better-than-expected operating profits. The market's attention is now on Wednesday's inflation release and its implications for monetary policy.

(With inputs from agencies.)