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FTSE 100 down 0.14%, FTSE 250 falls 0.1%
OECD cuts world progress outlook, cites commerce warfare impression
UK wants powerful motion on authorities finances coverage, OECD warns
Chemring Group hits close to 14-year excessive
Euro zone inflation falls under ECB goal
June 3 (Reuters) – Britain’s primary indexes fell on Tuesday, pressured by mining and monetary shares, with traders rising cautious over unpredictable U.S. commerce insurance policies, dampening market sentiment.
As of 0946 GMT, the blue-chip FTSE 100 was down 0.14%, and the midcap FTSE 250 fell 0.1%.
The Organisation for Financial Cooperation and Growth (OECD) trimmed its world progress outlook and stated the commerce warfare was taking a much bigger toll on the U.S. economic system than earlier than.
The Paris-based group additionally urged Britain’s authorities to reinforce efforts to scale back borrowing and debt, simply days earlier than Finance Minister Rachel Reeves presents her long-term spending plans.
Buyers had been already unsettled by U.S. President Donald Trump’s Friday announcement to extend tariffs on imported metal and aluminum from 25% to 50%.
Industrial metallic miners bore the brunt of the commerce jitters, falling 2.5%, as London copper costs misplaced floor on considerations of doable U.S. tariffs on the metallic.
Losses in monetary shares additionally weighed on each the indexes, with an index monitoring the UK banks dropping 1.4%.
On the flip facet, the aerospace and defence sub-index continued to achieve for the second consecutive day after Prime Minister Keir Starmer introduced on Monday 15 billion kilos ($20.3 billion) in spending to carry Britain as much as “war-fighting readiness”.
Chemring Group jumped 6.5% to the highest of the midcap index after the defence contractor posted the highest-ever order guide for the six months ended April 30. The inventory hit a close to four-year excessive.
Elsewhere, euro zone inflation eased under the European Central Financial institution’s goal final month, underpinning expectations for an additional rate of interest minimize this week. (Reporting by Ragini Mathur in Bengaluru; Modifying by Vijay Kishore)
