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Stocks in London were lower around noon on Thursday, as traders absorbed data readouts for the UK and Europe against a backdrop of ongoing tension between the US and Iran. The FTSE 100 index was down 70.49 points, 0.7%, at 10,405.97. The FTSE 250 was down 220.75 points, 1.0%, at 22,751.26, and the AIM all-share was down 4.70 points, 0.6%, at 803.42. The Cboe UK 100 was down 0.8% at 1,036.22, the Cboe UK 250 was 1.2% lower at 19,827.20, and the Cboe small companies was down 0.2% at 18,330.82. In European equities on Thursday, the CAC 40 in Paris was up 0.2%, while the DAX 40 in Frankfurt was down 0.5%. Sterling was at $1.3485 at midday on Thursday, down from $1.3506 at the London equities close on Wednesday. Against the euro, sterling was higher at €1.1543 from €1.1525. The euro was lower at $1.1682 from $1.1722. Against the yen, the dollar was higher at JP¥159.70 versus JP¥159.39. ‘Even though equity markets have been remarkably resilient of late, oil prices above $100 a barrel are a reminder to investors that the Middle East conflict still presents an inflation risk,’ said AJ Bell analyst Dan Coatsworth. Brent oil was trading higher at $102.90 a barrel at midday on Thursday from $101.42 on Wednesday. ‘There continue to be mixed messages around peace talks, creating an air of uncertainty that periodically stops investors in their tracks. It’s one of those days where investors have dialled back risk appetite to consider what could go wrong, rather than shrugging off the backdrop of conflict to bid markets higher.’ Coatsworth added: ‘While the pullback in equities is only marginal, next week could be more volatile if tech firms’ results remind investors that they were worried about something else before the Middle East crisis began excessive AI spending. The big tech firms will need to show that big spending is worth it, otherwise we could see investors return to worry mode.’ Back in the UK, the private sector regained growth momentum in April, according to preliminary purchasing managers’ index survey results released by S&P Global. The flash PMI composite output index registered 52.0 points in April, above the 50-point mark that separates growth from contraction, and up from March’s reading of 50.3 points, indicating an accelerated pace of growth. The reading came in ahead of FXStreet-cited market consensus, which had forecast the UK private sector would slip into contraction with a 49.8-point PMI reading. Stocks in New York were called lower. The Dow Jones Industrial Average was called down 0.7%, the S&P 500 index 0.5% lower, and the Nasdaq Composite down 0.5%. The yield on the US 10-year Treasury was quoted at 4.32% on Thursday, widened from 4.29% on Wednesday. The yield on the US 30-year Treasury advanced to 4.92% from 4.89%. Back in London, shares in London Stock Exchange Group climbed 1.6% after it hailed a ‘record performance’ in the first quarter of 2026 and raised its annual guidance. The exchange operator and data provider said total income, excluding recoveries, rose 9.8% on an organic constant currency basis in the recent quarter from a year before. This included 6.3% growth in its subscription businesses and ‘very strong growth’ in trading volumes. Looking ahead, LSEG now expects 2026 organic constant currency total income growth excluding recoveries to be in the upper half of its guidance range of 6.5% to 7.5%. It forecasts an improvement in its constant currency earnings before interest, tax, depreciation and amortisation margin of between 80 and 100 basis points. Relx shares were down 2.5% after it said it has ‘started the year well’, guiding further growth for the full year ahead of its annual general meeting. The London-based provider of business, scientific and legal information noted a positive start to 2026 trading across all four of its business areas, reporting ‘strong’ underlying revenue and profit growth, as well as new sales. For the full year, Relx guides another year of ‘strong’ underlying revenue growth and adjusted operating profit from £9.59 billion and £3.34 billion respectively in 2025. On the FTSE 250 index, Domino’s Pizza Group led the way and jumped 9.1% after it backed its full-year outlook and reported a positive start to the first quarter of 2026. Domino’s Pizza Group said total system sales grew 5.8% in the quarter, with like-for-like growth of 4.5%. Total orders rose by 2.3%, while like-for-like orders were up 0.9%. Looking ahead, Domino’s Pizza Group said it does not foresee any supply-related issues, noting that its costs are hedged ‘well into 2027’. The company added that it expects to meet its earnings expectations for the full-year. Man Group shares were down 5.4% after it reported unexpected net outflows in the first three months of 2026, including an eye-watering $6.1 billion redemption by a single client. The London-based investment management firm reported net outflows of $1.6 billion in the quarter compared to market consensus, cited by JPMorgan, for net inflows of $1.8 billion. Outflows included a $6.1 billion redemption from a single client in long-only systematic equity, Man Group said. Long-only equity saw net outflows of $2.8 billion overall, with long-only credit posting inflows of $2.2 billion. On the AIM market, shares in Mirriad Advertising sank 80%. The London-based provider of virtual product placements said it may have to enter liquidation or administration as 2026 ‘has proven to be an exceptionally challenging year’. At the end of March, it said it had cash equivalents of around £675,000 and would need to secure more funding before the publication of its 2025 annual report. So far, no binding funding has been secured. The firm said it may have to enter a liquidation or administration process in the near term to effect an orderly wind down. Gold was lower at $4,699.40 an ounce at midday on Thursday from $4,734.05 late Wednesday. Still to come on Thursday’s economic calendar are weekly jobless claims numbers in the US. Copyright 2026 Alliance News Ltd. All Rights Reserved.
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