Market Tensions: UK Stocks Dip Amid Global Uncertainty

On December 1, 2025, UK stocks declined, with the FTSE 100 and FTSE 250 dropping due to industrials losses and global risk-off sentiment. Aerospace and defense sectors led declines, while precious metal mining saw significant gains. US-Britain zero tariff pharmaceutical deal was announced amidst economic uncertainties.

UK stocks experienced a downward trend on Monday, with the FTSE 100 dropping 0.2% and the FTSE 250 shedding 0.7%, marking its largest single-day decrease in two weeks, amid global economic uncertainties.

Losses in aerospace and defense stocks, notably Melrose, Rolls-Royce, and BAE Systems, contributed to the declines. However, mining stocks saw gains alongside rising gold prices.

In other developments, the U.S. and Britain reached a zero tariff deal on pharmaceuticals, and domestic service sector data showed a steep decline, ahead of a key speech by U.S. Fed Chair Jerome Powell.

(With inputs from agencies.)