FTSE Indexes Set for Biggest Weekly Drop in Nearly a Year

UK stocks face their worst week in nearly a year as Middle East tensions drive up energy prices. Traders have reduced bets on interest rate cuts this month.

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Major stock indexes in the United Kingdom are on track for their most significant weekly decline in nearly a year as escalating conflict in the Middle East fuels concerns regarding a resurgence in inflation. By midday Friday, the blue-chip FTSE 100 had dipped 0.1%, while the FTSE 250 remained flat. Both indexes are currently recording their poorest weekly performance since the market volatility of April 2025, which was triggered by trade policies in the United States.

Signage at the London Stock Exchange Group headquarters in Paternoster Square, London, captured in April 2025. Photo credit: Toby Melville/REUTERS
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