FTSE 100 Wavers Amid Budget Shocks and Stock Fluctuations

The UK’s FTSE 100 index declined due to losses in consumer staples and energy stocks. The fall was influenced by Finance Minister Rachel Reeves's tax-raising budget announcement. Meanwhile, certain stocks like homebuilders gained, and online fashion retailer Debenhams saw a significant surge. U.S. markets were closed for Thanksgiving.

The FTSE 100, a benchmark for UK stocks, edged lower on Thursday following the announcement of a tax-raising budget by Finance Minister Rachel Reeves. Losses in consumer staples and energy stocks led to the decline.

Notable decreases were seen in companies like Unilever and British American Tobacco. Industrial miners also faced declines, with Anglo American and Rio Tinto dropping over 1.5% each. Energy stocks, aligning with falling oil prices due to hopes of a Ukraine-Russia ceasefire, fell by 0.9%.

Finance Minister Reeves presented a budget on Wednesday that exceeded market expectations, with increased welfare spending and expanded fiscal targets. Large investors reacted positively, warning of potential challenges if future growth expectations were not met.

(With inputs from agencies.)