UK stocks experienced a downturn in early trading, halting the recent global market rally, influenced by significant declines in Wall Street indices overnight.
The premier FTSE 100 index dropped by 0.3%, while the more domestically-focused FTSE 250 midcap index saw a 0.6% decrease.
Both indices are poised to end a three-day winning streak, following a standout performance by UK stocks compared to their European counterparts on Wednesday, buoyed by an unexpected sharp fall in inflation to 3.9%.
Global markets has been on an upswing since last week, following indications from the US Federal Reserve of potential rate cuts next year. However, all three major US stock indices closed with over a 1% loss on Wednesday.
Sectors such as personal goods and construction and materials were among the hardest hit, each declining over 1%.
Stocks of British American Tobacco, Halma, and United Utilities Group also saw declines, ranging from 0.6% to 2.4%, as they traded ex-dividend.
