FX.co ★ FTSE 100 Ends Week on Negative Note

On Friday, the FTSE 100 declined, trailing its European counterparts, as investors absorbed the Bank of England's decision to maintain interest rates and a larger-than-anticipated £18 billion budget deficit for August, heightening concerns about government borrowing. These market conditions adversely affected financial stocks, with the London Stock Exchange sinking over 5% after its US counterpart, FactSet, released a weak forecast for 2026. Additionally, NatWest's shares dropped by 2.5%, and Lloyds fell by around 1.7%. In contrast, Spire Healthcare saw a surge due to potential sale reports, and PureTech Health rose thanks to activist investment. Although retail sales improved in August, the GfK sentiment index indicated households are saving less as rising food and essential costs persist, highlighting the ongoing cost-of-living challenges.