The FTSE 100 nudged 0.1% higher on Friday, with the FTSE 250 up 0.2% and the AIM All-Share adding 0.4%, as London markets prepare for the holiday break.
Thursday’s Bank of England cut helped lift the FTSE, while the European Central Bank held rates steady and the Bank of Japan raised its benchmark 25 basis points to 0.75%.
UK retail sales came in weaker than expected. November volumes fell 0.1% month-on-month, missing forecasts for a 0.4% rise. Supermarkets saw their fourth straight monthly decline, and non-store retailers slowed as gold demand softened. October’s drop was revised to 0.9%.
Public sector borrowing totalled £11.65 billion, lower than a year ago but above forecasts of £10.2 billion, marking the smallest November borrowing figure since 2021.
Shares were mixed. WH Smith slipped 2.9% after reporting a 97% fall in pretax profit from continuing operations, though revenue rose 5.4% to £1.55 billion. Interim CEO Andrew Harrison said the company has “much to do to rebuild confidence” following a review that flagged accounting issues in North America.
Housebuilders struggled after Thursday’s rate-cut rally. Persimmon dropped 1.7%, Barratt Redrow lost 1.5%, and Berkeley Group eased 1.4%.
On the upside, Strix jumped 13% after agreeing to sell its Billi business for £110 million to Crescent Capital Partners. The deal includes Strix Australia and other subsidiaries, providing cash to offset headwinds from tariffs and a weaker US dollar.
Overseas markets were mixed. Tokyo’s Nikkei 225 rose 1%, while Shanghai gained 0.4% and Hong Kong’s Hang Seng added 0.8%. Sydney’s S&P/ASX 200 climbed 0.4%. In the US, Thursday’s session saw the Dow rise 0.1%, the S&P 500 0.8%, and the Nasdaq 1.4%.