The FTSE 100 opened Thursday near 10,513, broadly unchanged, as a mix of stronger trade and growth figures collided with weaker output data. Corporate earnings and elevated energy prices supported the index, while later trade saw it slip toward 10,470.
The FTSE 100 opened Thursday's session at 10,513, broadly unchanged from the previous day's close, as traders parsed a batch of UK trade, growth and output data that pulled in opposite directions. By later trade the index had eased, falling 0.5% to around 10,470 and hovering near its lowest level since June 24.
Trade and growth beat, output disappoints
The trade deficit narrowed to GBP18.7 billion, better than market expectations for a GBP23.1 billion shortfall and a modest lift to sentiment. UK GDP also expanded 0.1% month on month in May, slightly ahead of consensus forecasts for no monthly growth.
The production side told a less flattering story. Industrial production contracted 0.5%, missing expectations, even as manufacturing output and the services sector both delivered upside surprises.
Construction stays the weakest link
Construction remained the softest part of the economy, with output declining 0.8% against an expected 0.3% contraction. According to CMC Markets, the figures confirm that weakness in the sector persisted through May.
Earnings drive the movers
Individual results shaped much of the session. Experian dropped more than 4% after reporting higher revenue but keeping its outlook unchanged, while SSE lost 0.7% after reaffirming its earnings forecast and its plan to invest £5 billion this year.
Others pushed the other way. Diploma surged 4% after the technical products distributor raised its margin forecast. Rotork, meanwhile, agreed to a £4.1 billion takeover by its larger Swiss rival ABB. Persistently elevated energy prices kept oil majors in focus, helping cushion the index against the mixed macro backdrop.
Sources: CMC Markets, TradingView (snippet-based)
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