The FTSE 100 rose 0.2% to 8,756.51 on Friday morning, helped by a cautious pick-up in sentiment ahead of US inflation data. The spotlight is on the core PCE index,the Fed’s preferred inflation gauge, which may shape expectations around the timing of rate cuts.
The White House announced progress with China on trade issues, including speeding up rare earth shipments, while former President Trump claimed a new trade deal had been signed, though details remain unclear.
JD Sports Fashion led the FTSE 100, rising 7.2%, while Babcock International fell 2.8%. Unilever gained 0.6% following reports it will pay $1.5 billion for male grooming brand Dr Squatch, marking another significant move in that sector.
In the FTSE 250, RHI Magnesita climbed 4.1%, while precious metals miner Hochschild dropped 2%. On AIM, Pri0R1Ty Intelligence surged 14% after launching an AI-powered cryptocurrency solution. Dekel Agri-Vision fell 40%, despite completing an oversubscribed fundraise.
The pound strengthened further against the dollar to $1.3741 as markets awaited consumer confidence data from the eurozone and the US inflation report.
The FTSE is trading with cautious optimism this morning ahead of today’s key economic releases.