London Stocks Steady Amid Inflation and Trade Tensions

London stocks remained stable as investors anticipated a key U.S. inflation report. The FTSE 100 neared a record high, spurred by cooling inflation and easing trade tensions. Retail sales rose unexpectedly, while NatWest reported strong earnings. Precious metal miners fell as gold prices dipped.

London stocks were largely unchanged on Friday, with investors treading cautiously ahead of a crucial U.S. inflation report. The FTSE 100 remained near its record high, buoyed by cooling inflation and signs of easing Sino-U.S. trade tensions.

The FTSE 250 dipped slightly by 0.1%, though both indexes are poised to close the week on a positive note. The FTSE 100 is set for its largest weekly gain in over six months, thanks to these reassuring economic signals. Meanwhile, the FTSE 250 anticipates its biggest weekly rise in four months following lower-than-expected inflation figures that bolstered hopes for a rate cut by the Bank of England in December.

Highlights of the day included a surprising rise in retail sales for the fourth consecutive month, especially in tech and jewellery sectors. Noteworthy corporate earnings reports came from NatWest, which saw a 30% boost in third-quarter profits. However, precious metal miners saw declines as gold headed for its first weekly drop in ten weeks. Investor attention now shifts to U.S. consumer price data, set to influence upcoming Federal Reserve policy decisions.

(With inputs from agencies.)