FX.co ★ UK Shares Pause 2-Day Gain

On Tuesday, the FTSE 100 remained largely unchanged, halting its upward trajectory after two consecutive days of gains as investors evaluated corporate developments and economic indicators. The index faced downward pressure due to declines in major companies, including AstraZeneca (-0.8%), HSBC (-0.4%), Unilever (-1.4%), British American Tobacco (-1.9%), and GlaxoSmithKline (-3%). Despite these losses, there were notable advances from Shell (+1.4%), Relx (+1%), and Rolls-Royce (+1.6%). Entain emerged as the leading performer, surging over 6% after UBS upgraded its status to “buy,” highlighting robust underlying performance and the potential for a recovery. On the economic front, the UK experienced a rise in unemployment to 4.5%, reaching its highest level since 2021, coupled with a slowdown in wage growth. These statistics reinforced the anticipation that the Bank of England might consider cutting interest rates, given emerging signs of a cooling labor market. A blend of these factors has rendered investors cautious, keeping the FTSE 100 within a constrained trading band.