British Stocks Sway Amid Trade War Turbulence

British stocks faced a downturn as investors navigated the Trump administration's erratic trade policies and evaluated quarterly reports for earnings impact. FTSE 100 and FTSE 250 both decreased, while the Bank of England contemplated rate cuts amid global trade instability. Companies like Unilever and ASOS showed resilience.

On Thursday, British stocks experienced a lukewarm performance as investors navigated the Trump administration's fluctuating trade policies while scrutinizing earnings reports for adverse effects amid the ongoing trade war.

The FTSE 100 and FTSE 250 indexes both dipped by 0.2% by mid-morning. This week saw global stocks fluctuate with U.S. President Trump criticizing, then backtracking, on calls for Federal Reserve Chief Jerome Powell's resignation.

Furthermore, U.S. Treasury Secretary Scott Bessent reiterated his stance on the unsustainable nature of current high tariffs between the U.S. and China, emphasizing any change would require bilateral action. Meanwhile, Bank of England Governor Andrew Bailey acknowledged the significant risk to economic growth posed by global trade disruption, with the BoE contemplating rate cuts at their upcoming meetings. Financial entities have factored in a high likelihood of rate cuts this year, bolstering the case for economic intervention.

(With inputs from agencies.)