London stocks are expected to edge lower at the open on Friday as investors await UK retail sales data. Futures pricing points to the FTSE 100 opening down 3.1 points at 10,146.95. On Thursday, the blue-chip index ended 11.96 points higher, up 0.1%, at 10,150.05.
In currency markets, sterling slipped to USD1.3487 on Friday morning from USD1.3498 at the London close the previous day. The euro also eased, trading at USD1.1742, down from USD1.1749. The dollar strengthened against the yen, rising to JPY158.89 from JPY158.27.
Geopolitics remained in focus after US, Ukrainian and Russian officials confirmed plans to meet in the UAE following what were described as “useful” talks between Russian President Vladimir Putin and US envoy Steve Witkoff in Moscow. US negotiators, led by Witkoff, reportedly held discussions with Putin into the early hours of Friday.
In Europe, European Council President Antonio Costa said the EU “will defend itself” against “any form of coercion” after Trump withdrew a threat to impose tariffs on European countries linked to Greenland. Speaking after emergency talks in Brussels, Costa said the bloc has both the power and the tools to protect its interests if necessary.
Wall Street finished higher after President Trump withdrew his threat to impose tariffs on European allies linked to his push over Greenland. The Dow Jones Industrial Average and the S&P 500 both rose 0.6%, while the Nasdaq Composite outperformed, gaining 0.9%.
Asian markets were also firmer in early trading. Tokyo’s Nikkei 225 climbed 0.3%, South Korea’s Kospi rose 0.8% and China’s Shanghai Composite advanced 0.3%. In Hong Kong, the Hang Seng Index added 0.4%, while Australia’s S&P/ASX 200 ended the session 0.1% higher.
In Japan, the Bank of Japan left its overnight call rate unchanged at 0.75% following its latest policy meeting, in line with market expectations. The decision was passed by an 8–1 vote, with board member Takata Hajime dissenting in favour of a 25 basis point hike to 1.0%. The BoJ last raised rates in December, lifting them to their highest level since 1995.
Commodity markets saw gold extend its rally, rising to USD4,954.90 an ounce early Friday from USD4,874.80 late on Thursday. The metal touched a fresh record of USD4,967.37 earlier in the session.
Looking ahead, Friday’s global economic calendar features a raft of flash composite PMI readings alongside UK retail sales data. On the UK corporate front, currency and asset manager Record is due to release a trading statement.
