London’s main stock indexes closed the week in negative territory, snapping a four-week winning streak as elevated oil prices and geopolitical uncertainty continued to weigh on global risk sentiment.
The benchmark FTSE 100 declined 0.8% to 10,379.08 points, recording its first weekly loss in five weeks and reversing gains made after the U.S.–Iran ceasefire earlier this month. The mid-cap FTSE 250 also fell 0.8%, signalling broad-based market weakness.
Investor caution intensified after the Bank of England warned that global equity valuations may not fully reflect mounting economic risks. Deputy Governor Sarah Breeden said stock markets worldwide could face downward pressure amid lingering global uncertainties.
Energy market volatility remained a central concern, with crude oil prices holding above $100 per barrel as uncertainty persisted over the Strait of Hormuz, a key shipping route for global energy supplies.
Diplomatic developments also remained in focus. Iran’s foreign minister was scheduled to visit Islamabad to discuss possible steps toward reviving negotiations between Washington and Tehran, according to government sources.
Sector performance reflected the pressure from higher energy costs. Airline stocks weakened, with Wizz Air falling 3.3%, while banking majors Barclays and HSBC declined 0.9% and 1.3%, respectively.
Pharmaceutical shares also dragged on the index, as AstraZeneca dropped 3.7% and GSK lost 2.7%, pulling the broader sector down roughly 3%.
Packaging company Mondi recorded one of the steepest declines on the benchmark, tumbling 11.1% after warning that rising input costs linked to the Iran conflict would increase operating expenses.
A handful of sectors bucked the broader trend. Technology stocks advanced 1%, supported by a strong rally in Computacenter, which surged 14.5% after projecting annual profit above market expectations.
Separately, official data showed British retail sales increased 0.7% in March, while major supermarket groups Tesco and Sainsbury warned that prolonged Middle East tensions could weigh on earnings outlooks in the near term.
