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London’s blue chip index opened lower on Friday ahead of further US data releases, as the oil price fell slightly following a brief rebound on Thursday. Most recently, as reported on Thursday, the Fed’s preferred inflationary gauge accelerated in May. The core personal consumption expenditures price index rose 3.4% on-year in May, picking up speed from 3.3% in April. In separate figures, the number of Americans filing new claims for unemployment benefits fell by more than expected last week, while continuing claims rose, suggesting the US labour market remains resilient despite signs of easing. The FTSE 100 index opened down 43.14 points, 0.4%, at 10,486.75. The FTSE 250 was down 65.06 points, 0.3%, at 23,096.35, and the AIM all-share was down 1.25 points, 0.2%, at 770.67. The Cboe UK 100 was down 0.5% at 1,040.36, the Cboe UK 250 was down 0.2% at 19,829.44, and the Cboe small companies was marginally lower at 17,995.61. British American Tobacco was the second-highest FTSE 100 stock, up 1.7%, behind Imperial Brands which rose 2.0%. BAT announced plans to start a new share buyback, saying it starts next Tuesday and ends on July 29. The cigarette and nicotine product maker seeks to buy back up to 217.5 million shares. On the FTSE 250, Bellway gained 1.8% after broker Berenberg raised it to ’buy’ from ’hold’, with a price target of 2,400 pence, up from 2,100p. Ithaca Energy was the third-lowest stock, down 2.7%. Goldman Sachs cut its price target to 240p from 260p. It also cut Harbour Energy’s price target to 220p from 250p, with Harbour down 1.2%. Elsewhere, Wise Group rose 6.6%. The financial technology firm late on Thursday reported results for the financial year ended March 31. Net revenue increased 19% to $2.50 billion, although pretax income decreased to $660.4 million from $717.5 million. Wise also set out plans for a new buyback programme worth over $500 million, and said that for financial 2027 it expects to deliver net revenue growth ‘around the middle of our 15-20% medium-term target range on a constant currency basis’. In European equities on Friday, the CAC 40 in Paris was down 0.2%, while the DAX 40 in Frankfurt was up 1.0%. The pound was quoted lower at $1.3209 early Friday, compared to $1.3213 on Thursday. Against the euro, sterling fell to €1.1596 from €1.1604 a day prior. The euro stood flat at $1.1387. Against the yen, the dollar was also flat at JP¥161.63. In Asia on Friday, the Nikkei 225 index in Tokyo was down 4.2%. In China, the Shanghai Composite was down 2.1%, while the Hang Seng index in Hong Kong was down 1.7%. The S&P/ASX 200 in Sydney was up 0.2%. In the US on Thursday, Wall Street ended mixed, with the Dow Jones Industrial Average up 0.1%, the S&P 500 down 0.73 points and the Nasdaq Composite down 0.5%. ‘Early optimism across technology stocks remained very short-lived, jinxed by news from Apple, which warned of what’s happening on the other side of the table,’ Swissquote Senior Analyst Ipek Ozkardeskaya commented. She noted that Micron on Wednesday reported ‘a set of blowout quarterly results and very strong guidance thanks to robust AI demand’. However, while it closed up 16% on Thursday, the stock was down 2.1% after-hours. Apple, meanwhile, closed down 6.2% ‘as investors feared that the higher prices would reduce demand and may not offset the squeeze on profit margins’, after raising prices more than expected. It had previously warned that demand for memory chips from the artificial intelligence boom would force increases. The yield on the US 10-year Treasury was quoted at 4.38%, narrowing from 4.39%. The yield on the US 30-year Treasury was quoted at 4.86%, widening from 4.85%. Brent oil was quoted at $73.63 a barrel early in London on Friday, down from $74.42 late Thursday, despite a brief Thursday rebound after an attack on a ship in the Strait of Hormuz. The New York Times and other US media reported that Iran struck a container ship in the strait, and the Iranian agency that claims to regulate traffic there issued a warning after the incident. ‘Any passage through routes outside the framework designated by PGSA will not be covered by safe passage guarantees,’ Persian Gulf Strait Authority said on X. Ozkardeskaya said investors are ‘overlooking the rising geopolitical tensions and not pricing in the risk of further escalation into the weekend.’ Gold was quoted slightly higher at $4,030.60 an ounce against $4,025.66. Still to come on Friday’s economic calendar, the US has goods trade balance and wholesale inventories data. Copyright 2026 Alliance News Ltd. All Rights Reserved.
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