London stocks fall for second week on Middle East tensions
London stocks fell for a second week as Middle East tensions and stagnant GDP data dampened hopes for a March rate cut. Higher oil prices supported energy firms.
Equity markets in the United Kingdom recorded their second consecutive week of losses on Friday as escalating geopolitical tensions in the Middle East fueled concerns over persistent inflation and the future of monetary policy. The blue-chip FTSE 100 index declined by 0.4%, while the mid-cap FTSE 250 also retreated by 0.4%, reflecting a cautious atmosphere among investors as regional hostilities intensified.
The ongoing conflict involving Israel and the United States against Iran has entered its third week, leading to fears of a prolonged disruption in global trade. Market participants are particularly focused on the Strait of Hormuz, which Tehran has pledged to keep closed, threatening a vital artery for international energy shipments and further complicating the global economic outlook.
