The FTSE 100 declined as investors awaited a crucial U.S. jobs report that could shape the Federal Reserve’s upcoming interest rate decisions.
The index fell by 0.5% and was on its way to a sixth consecutive daily loss, cumulating in a 1.8% drop for the week—its sharpest weekly decline since mid-January.
Despite this, the FTSE 100 performed better than its European and U.S. counterparts on a weekly basis, with the Stoxx 600 and the S&P 500 each falling around 3%.
The domestically focused mid-cap FTSE 250 also declined by 0.3%, heading for its largest weekly drop since late July.
Sectors like industrial metal miners and energy were among the hardest hit, whereas precious metal miners saw gains, buoyed by rising gold prices.
UK stocks began September on a weak note, influenced by recent poor economic indicators that renewed concerns over a potential U.S. economic downturn, leading to a significant sell-off in risky assets globally in early August.
The upcoming U.S. non-farm payrolls report, due later today, will be pivotal in setting expectations for the magnitude and timing of rate cuts in the U.S.
