FX.co ★ FTSE 100 Declines As US Rate Cut Hopes Fade

U.K. stocks experienced a downturn on Monday as optimism surrounding U.S. interest rate cuts diminished, and far-right parties disrupted traditional political structures within the European Union, making significant advances in Sunday’s parliamentary elections.

In other economic developments, the appointment of permanent staff in the U.K. fell for the twentieth consecutive month in May. However, the rate of decline was the least severe since March 2023, according to a report by S&P Global.

Recruitment consultants attributed the ongoing drop in recruitment activity to delayed decision-making and a lack of corporate demand, as outlined in the KPMG/REC Report on Jobs. Additionally, temporary billings decreased in May, although this decline was the smallest since January. The benchmark FTSE 100 shed 33 points, or 0.4 percent, settling at 8,212, following a half-percent dip on Friday.

On the corporate front, Pennon saw a 1 percent decline in its stock price as the water company announced David Sproul would assume the role of chair designate, succeeding Gill Rider after the annual general meeting on July 24.

Conversely, Tristel's stock gained 1.4 percent. The infection prevention products manufacturer revealed that Matthew Sassone will be stepping in as Chief Executive Officer starting September 2.