FTSE 100 Holds Steady Despite Global Market Tensions

London's FTSE 100 index remained stable after a record close, gaining weekly due to strong financial earnings and resource share performances. Miners like Glencore fell over copper demand fears from China, but geopolitical factors and economic resilience buoyed investor confidence, boosting investment banking and defense stocks.

London's primary stock index remained mostly steady on Friday despite a record close the previous day, managing a weekly rise aided by robust financial earnings, optimistic data, and the strength in resource-linked shares.

The FTSE 100 dipped by 0.04% to reach 10,235.29 points, marking a 0.1% gain for the week. In contrast, the domestically-centered mid-cap index grew by 0.13%, hitting a five-week high with a weekly increase of 1.2%. Mining stocks in London registered losses as Glencore and Rio Tinto declined by 2.5% and 1.8%, respectively, driven by worries over diminishing copper demand from leading consumer China. Precious metal miners also took a hit, with Endeavour Mining slumping by 2.6% to become one of the major losers in the blue-chip index.

Despite the downtrend, resource-linked stocks were key to the positive week, as geopolitical uncertainties drove gold demand while supply anxieties buoyed copper and other metal markets earlier. The investment banking and brokerage index soared by 5.3% this week, bolstered by strong earnings from financial leaders such as Ashmore Group and Schroders. Additionally, renewed investor confidence was fueled by enhanced British economic growth, showcasing resilience despite apprehensions about Finance Minister Rachel Reeves' budget plans. Amidst renewed tensions in the Russia-Ukraine conflict after President Volodymyr Zelenskiy's state of emergency declaration, Britain's defense stocks diverged from the trend, influenced by the country's promise of £20 million in energy aid to Ukraine.

(With inputs from agencies.)