FX.co ★ FTSE 100 Falls by Over 1%

The FTSE 100 fell more than 1% on Monday, snapping a three-session winning streak as banking and mining stocks led the decline. Barclays dropped 3.5% following reports that the Bank of England was examining whether its traders had misrepresented illiquid private-credit loans to understate their risk exposure. The development weighed on the broader banking sector, with HSBC and Lloyds Banking Group each losing more than 2%, NatWest slipping nearly 3%, and Standard Chartered down 2.5%.

Mining shares also came under pressure: Anglo American fell 4%, Glencore declined more than 3.5%, and Rio Tinto lost almost 2%. Aerospace and defence stocks weakened as well, with Rolls-Royce and BAE Systems both down around 2%.

Investors are now looking ahead to UK September inflation and retail sales data due later this week. Focus is also shifting to Finance Minister John Healey’s first budget statement, scheduled for next week. Meanwhile, oil prices eased back from five-month highs as traders weighed tensions in the Middle East against the resilience of regional supply.