FX.co ★ FTSE 100 Extend Losses on Friday

The FTSE 100 extended its decline into a second session on Friday, as risk appetite remained subdued and investors weighed the latest developments in US–Iran negotiations, including President Donald Trump’s decision to postpone his deadline for a deal. Market sentiment stayed cautious, with no tangible progress in the talks and few fresh catalysts, while concerns over inflation and the prospect of higher interest rates continued to linger.

Weakness in banking, energy and defence stocks exerted the most pressure on the blue-chip index. HSBC, Lloyds and Barclays slipped between 0.5% and 1%, while Shell and BP shed around 0.5% to 0.7%. Rolls-Royce declined 1.4% and BAE Systems was down 0.8%.

In contrast, AstraZeneca provided some support to the index, rising about 3% after unveiling positive phase three trial results for its COPD treatment, tozorakimab. On the macroeconomic front, official data showed UK retail sales fell by 0.4% in February, both including and excluding fuel, a smaller drop than economists had forecast. Despite the cautious tone, the FTSE 100 is marginally higher over the week.