The FTSE 100 experienced a slight decline of 0.2% amidst renewed tariff threats from the US President, which dampened global risk appetite. While many European markets suffered more significant losses, the UK index demonstrated resilience due to its defensive sector composition. Gains in healthcare, consumer staples, precious metals miners, and defence stocks helped offset weakness in banking shares.
- FTSE 100 traded 0.2% lower.
- Tariff threats from US President Trump weighed on global risk sentiment.
- The UK index is holding up better than many European peers.
- Healthcare and consumer staples are limiting losses.
- AstraZeneca is up 0.5% and Unilever is up 0.6%.
- Precious metals miners are among the strongest performers: Fresnillo (up nearly 5%), Endeavour Mining (up around 2.7%).
- Other miners such as Antofagasta, Glencore and Rio Tinto are also higher (roughly 0.6% to 0.8%).
- Defence stocks are adding further resilience: BAE Systems (up 1.6%) and Babcock International (up 1.1%).
- Banking shares are showing weakness.
The asset’s performance reveals a complex interplay of factors. While global trade uncertainties are impacting the broader market, the asset benefits from its composition of defensive sectors that are less sensitive to economic downturns. Gains in specific industries such as mining and defence, are buffering against losses in more cyclical sectors like banking, providing a degree of stability during times of international economic tension.