FTSE 100 Steady Amid Tariff Turmoil and Industry Setbacks

The FTSE 100 faced volatility as U.S. trade policy uncertainties emerged, influencing market movements. Johnson Matthey slumped significantly due to a sale price cut for its catalyst unit. Additionally, concerns over new tariffs affected packaging and aerospace sectors, while gold prices buoyed precious-metal miners.

The UK's FTSE 100 remained largely subdued on Monday, as investors grappled with renewed uncertainties surrounding U.S. trade policy. This comes as chemical firm Johnson Matthey experienced a sharp decline after slashing the sale price of its catalyst unit to Honeywell.

Despite closing at record highs the previous week, the blue-chip index saw only a slight increase of 0.1% at 1200 GMT. Market instability followed President Donald Trump's announcement of a new 15% tariff on global imports, in light of the U.S. Supreme Court's recent decision to remove tariffs set during an emergency.

This tariff increment, rising from 10% to 15% according to Unicredit analysts, negatively impacted shares in sectors such as packaging and aerospace. However, precious-metal miners experienced gains as gold prices rose. Politically, support for Prime Minister Keir Starmer's Labour Party appears to be wavering in key areas.