The FTSE 100 demonstrated resilience, rising by 0.2% and recovering from a previous loss, performing better than its European counterparts. The gains were primarily driven by strong performances from JD Sports and utility companies, although some sectors experienced downward pressure as investors shifted their focus.
- The FTSE 100 traded 0.2% higher.
- JD Sports climbed over 2.5% due to strong US sales and a share buyback.
- JD Sports highlighted risks from weak consumer finances and rising unemployment.
- Utilities outperformed after Ofgem raised the energy price cap more than expected.
- National Grid, SSE, Severn Trent, and United Utilities all experienced gains.
- Prudential advanced after reporting higher new business profit and larger buybacks.
- Prudential’s dividend growth forecast disappointed.
- Consumer goods stocks slipped as investors rotated out of defensives.
The market’s movement indicates a sector-specific recovery, with some companies benefiting from positive news while others face headwinds. While certain sectors, such as retail and utilities, are showing strength, broader economic concerns and shifting investment strategies introduce uncertainty. This presents a mixed picture for investors, requiring careful consideration of individual stock performance and macroeconomic factors.