London’s FTSE 100 snapped a three-session winning streak on Monday, with gold miners leading broader market declines as investors booked some profits heading into the new year.
The blue-chip FTSE 100 was down 0.4%, after logging its best week this month in the previous session. The mid-cap FTSE 250 also lost 0.4%.
The FTSE 100 is set for its fourth straight year of gains, while the FTSE 250 is on track for its second consecutive yearly rise.
Precious metal miners led sectoral declines on the day with a 2% loss, trading at their lowest levels in more than three months, as gold prices slipped. Personal goods followed with a 1.1% decline.
Most major FTSE 350 sectors lost ground, though banks and travel and leisure shares gained 0.3% each.
Trading volumes are expected to be thin in a holiday-truncated week. UK markets will close early on Tuesday and remain shut on Wednesday for the New Year.
Investors are bracing for uncertainty in 2025 as Donald Trump returns to the White House with his potential tariff policies. Domestic businesses are also assessing the impact of UK Finance Minister Rachel Reeves’ October budget announcement.
Any clues on the Bank of England’s monetary policy trajectory will also be on the radar, after the British central bank suggested it would “stick” to its gradual approach to reductions on the back of sticky inflation in the economy.
The BoE delivered two interest rate cuts in 2024, totalling a reduction of 50 basis points. Money market participants are now pricing in more than 52 bps in cuts in 2025.
(Reporting by Purvi Agarwal）
