* FTSE 100 ends 6.61 points lower at 10,143.44
* US markets open on the back foot
* Gold eases back from new record
That’s a wrap, folks
A quiet day in London left UK blue-chips in the red as the FTSE 100 ended a tepid session down 6.61 points at 10,143.44.
3.28pm: US lurches into the red as Intel slumps
The FTSE 100 nibbled into the red as US stocks began on the back foot with investors easing into the session cautiously after a noisy week of headlines.
The Dow Jones was down 0.7%, or about 345 points, shortly after the open, while the S&P 500 slipped 0.2%. The Nasdaq was little changed, hovering just below flat, and the small-cap Russell 2000 fell 0.6%.
Earnings were doing some of the heavy lifting. Intel shares were tumbling nearly 16% after the chipmaker’s results and outlook failed to justify a stock that had already surged 47% so far in 2026. Nvidia, meanwhile, was moving higher after China said top tech firms may prepare orders for Nvidia’s H200 chips, according to Bloomberg.
Deal news was also in focus, with Capital One agreeing to buy fintech firm Brex for $5.15 billion in cash and stock. Elsewhere, Bank of America and Citigroup were reportedly considering new credit cards with introductory rates capped at 10%, while Amazon is said to be nearing a second round of job cuts.
On the macro front, investors were looking ahead to January flash PMI data and a final reading of consumer sentiment later in the morning. Gold continued to shine, extending gains after breaking above $4,900 an ounce on Thursday, helped by a bullish Goldman Sachs call for $5,400 gold by the end of 2026.
As Pepperstone’s Michael Brown put it, after days of headline chaos, markets were finally getting a breather — with today’s PMI data set to offer an early check-in on how the year is really starting to unfold.
1.30pm: Pressure grows for Admiral
The pressure seems to be on the insurer Admiral after downgrades this week by Goldman Sachs and RBC Capital. Off 5% on Friday, the stock is now at levels last seen 12 months ago. The negativity stems in part from a more cautious stance on UK motor margins and top-line growth.
12:16am: Footsie holds steady as Wall Street slides on Intel warning
London’s FTSE 100 clung to modest gains on Friday, staying in positive territory despite a weaker showing on Wall Street, where tech stocks came under pressure after a disappointing update from Intel.
The UK’s blue-chip index was helped by strength in energy and mining stocks, with investors turning to commodities as nerves grew over US tech earnings and political uncertainty. In contrast, futures for the Dow Jones, S&P 500 and Nasdaq slipped, pulling US markets back after two days of gains.
Chipmaker Intel triggered the wobble after posting a quarterly loss and warning on future sales. The company has been struggling to meet demand for server chips used in artificial intelligence data centres, a key growth area. Its shares fell more than 10% before the opening bell.
The mood was further unsettled by renewed concerns over Washington’s trade stance. President Trump earlier in the week threatened tariffs on NATO allies over a revived bid to buy Greenland, prompting outflows from US stocks.
Bank of America said nearly $17 billion had been pulled from US equities in recent days. European and Japanese funds, by contrast, saw their strongest inflows since mid-2023, according to EPFR Global data.
Gold continued its ascent, rising above $4,900 for the first time after a bullish call from Goldman Sachs, which sees the price reaching $5,400 by the end of the year.
Attention now turns to US manufacturing and services data due later today, though analysts expect little impact on interest rate expectations ahead of next week’s Federal Reserve meeting. Trump has said he plans to name a new Fed chair “soon” after completing interviews to replace Jerome Powell.
11.10am: Back in the black
After a brief dip into the red, the Footse is positive again as we head towards the halfway mark, currently 9 points up at 10,159.01. Gold has pulled back to $4,913 an ounce.
“While it looks like a crisis has been averted, investors’ patience has been well and truly tested,” commented Dan Coatsworth, head of markets at AJ Bell.
Coatsworth noted gold’s earlier move towards $5,000 as investors were “reluctant to let go of their safety blanket, just in case Donald Trump woke up with another controversial idea.”
“There’s a lot for investors to process given the volatile first three days of the trading week, and it’s only natural for people to pause and take stock of events,” he added
10.45am: More movers
Watches of Switzerland Group PLC (LSE:WOSG) rose 5.7% after acquiring Texas luxury retailer Deutsch & Deutsch. The deal adds four Rolex-anchored showrooms, generated $67 million in 2024 revenue, and aligns with existing US profitability. WoS now operates 25 Rolex showrooms, with the Deutsch family staying in leadership. Read more
SSP Group plc (LSE:SSPG) rose 2.5% after reporting Q1 sales growth. Like-for-like sales increased 5%, with strongest gains in APAC and EEME. UK & Ireland rose 8%, North America 4%, and Continental Europe 1%. CEO Patrick Coveney described it as a “good start” and confirmed confidence in FY26 prospects. Read more
Bluefield Solar Income Fund Ltd (LSE:BSIF, FRA:5B3) jumped 2.6% to 69.8p after confirming grid connection offers for over 90% of its 1.34GW pipeline. The projects include 540MW of solar PV and 120MW of battery storage, with connections phased between 2026 and 2035. Read more
C&C Group PLC (LSE:CCR) fell 14% after the brewer warned profits would miss expectations. Weak November and early December trading, driven by low consumer confidence following the UK Budget, hit demand in hospitality. Softer sales of Tennent’s, Bulmers, and Blackthorn were the main factor behind the downgrade. Read more
10.30: Footsie slips into the red
The FTSE 100 turned around mid-morning and fell into the red, down 3 points at 10,146.74. Gold has also eased back to $4,926 an ounce, after earlier setting a new high of $4,967.
Luxury goods group Burberry Group PLC (LSE:BRBY) is weighing heavily, down 4%, while airlines are also losing altitude, with International Consolidated Airlines Group SA (LSE:IAG) falling 3.1% and easyJet PLC (LSE:EZJ) down 2.9%.
Marks and Spencer Group PLC (LSE:MKS) is now top of the leaderboard, with a 1.8% gain.
9.45am: Services boost PMI
UK businesses started 2026 with a bang! Private sector growth hit its fastest pace since April 2024, with the PMI jumping to 53.9. While services are leading the charge, manufacturers are also cheering as export sales rose for the first time in four years.
Chris Williamson of S&P Global noted that firms have “kicked up a gear,” reaching peak optimism levels not seen in 16 months. Even though geopolitical jitters and high costs remain, improved sales pipelines have sparked major confidence. However, it’s not all festive; many firms are still trimming staff to keep costs under control.
8.55am: Back to Babcock
Babcock’s Q3 update highlighted why the defence sector has captured investor attention, according to interactive investor’s Richard Hunter.
Momentum from the first half continued, boosted by major strategic wins, including being named prime industrial partner in Indonesia’s £4 billion Maritime Partnership Programme and securing two more Arrowhead 140 licences. Nuclear, Aviation, and Maritime units performed strongly, offsetting weaker Land activity, while the £200 million share buyback continues.
The outlook remains confident, with most revenue contracted and an 8% margin target in sight. Hunter noted: “Despite this meteoric rise, investor appetite is undiminished… the market consensus of the shares as a strong buy is unlikely to waver any time soon.”
Alongside its Q3 update, the defence contractor also announced chief executive David Lockwood will step down later this year after five years in the role. Harry Holt, chief of its nuclear division, will become deputy CEO in June and replace Lockwood when he retires towards the end of the year.
8.15am: FTSE makes early gains
The FTSE 100 has defied the odds, gaining 23 points to 10,170.78 in the first 15 minutes of trading, a gain of 0.2%, supported by gold at a new record.
Endeavour Mining PLC (LSE:EDV, TSX:EDV, OTCQX:EDVMF, FRA:6E2) is leading the gainers, up 1.7% after gold soared to $4,967 an ounce.
Consumer health company Haleon PLC (LSE:HLN, NYSE:HLN) and credit checking giant Experian PLC (LSE:EXPN) are both up around 1%, recovering from declines yesterday morning.
On the downside, engineer Babcock International PLC (LSE:BAB) has shed 2.2% following a trading update. More on that shortly. Fund manager ICG PLC (LSE:ICG) is 1.7% off the pace.
7.55am: Retail sales perk up
Retailers enjoyed a 0.4% lift in sales volumes in December, reversing November’s dip, but sales for the final quarter of 2025 as a whole still slipped 0.3%, according to the ONS.
Online sellers powered the rebound, with online jewellers sparkling thanks to stronger demand for precious metals, while supermarkets saw a modest seasonal boost. Non-food stores lagged.
Across 2025, sales volumes rose 1.3% for a second year, though fuel sales fell. Despite progress, overall retail volumes remain 1.5% below pre-pandemic levels.
7.15am: Before the bell
The FTSE 100 is set for a flat open on Friday as investors take stock after a volatile week, as US President Donald Trump raised tensions before de-escalating at the World Economic Forum meetings in Davos.
London’s blue-chip index has been called 6 points lower by spreadbetters when trading gets underway in less than an hour. The index closed 12 points up at 10,150 on Thursday.
Wall Street also closed higher after President Trump called off threatened tariffs on European allies over his pursuit of Greenland. The Dow Jones and the S&P 500 both added 0.6%, while the Nasdaq outperformed with a 0.9% gain.
Asian markets are firmer this morning as well, with Tokyo up 0.3%, the Kospi in Seoul up 0.8% and the Shanghai market up 0.3%. In Hong Kong, the Hang Seng is up 0.4%, while the ASX 200 in Sydney closed 0.1% firmer.
Meanwhile, gold has continued its record-breaking run, reaching $4,967 an ounce, signalling that “risk appetite is not fully restored” despite the brief relief rally triggered by President Trump’s Davos speech, according to Ipek Ozkardeskaya, senior analyst at Swissquote.
While markets initially reacted positively to the easing of European tariffs and the dismissal of military action in Greenland, the recovery for the S&P 500 and Nasdaq 100 remains muted. Ozkardeskaya warns that the administration’s unpredictable trade policy remains a primary concern, stating: “US deals and agreements offer little guarantee of stability. New tariffs could be announced at any time.”
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