FTSE 100 posts weekly loss as AI jitters spark risk-off move

By Reuters News

- Britain's FTSE 100 fell 1% on Friday after touching a more than three-week low earlier in the session and registered a weekly decline, as AI jitters following Democrats' capture of the US Congress sparked a broad risk-off move.

The blue-chip FTSE 100 index .FTSE fell 1.01% to 10,673.94 points and was down 0.5% for the week, while the midcap FTSE 250 .FTMC slipped 0.80%, but still eked out a tiny weekly gain.

  • The Democrats' capture of the US House and Senate earlier this week sparked concerns of AI regulation, a slowdown in data-centre buildouts and hyperscalers tightening their purse strings

  • The S&P 500 .SPX and the Nasdaq .IXIC indexes traded higher on Friday, after posting on Thursday their sharpest one-day falls since April 2025

  • "When $2.5 trillion of value is lost from one of the major US stock market indices in a day, it's understandable that investors are feeling on edge," said Dan Coatsworth, head of markets at AJ Bell

  • The jitters spilled over to global markets, with the European benchmark STOXX 600 .STOXX ending 1% lower .EU

  • Most sectors in London slid, with precious metal miners .FTNMX551030 being an exception and rising 1.7%

  • Telecom stocks .FTNMX151020 dropped 3.6%, leading the declines in the index, with BT Group BT.L and Airtel Africa AAF.L sliding 6.4% and 4%, respectively

  • Traditionally defensive sectors such as pharma .FTNMX201030 and personal care, drug and groceries .FTNMX452010 also slid around 0.6% and 1.7%, respectively, highlighting the breadth of the market retreat

  • Oil prices slipped on Friday, weighing on energy stocks .FTNMX601010, which ended down 1.6% O/R

  • Separately, Lloyds said British house prices fell at the fastest annual pace in a year in October as higher mortgage costs weighed on demand

  • Man Group EMG.L was the biggest faller on the FTSE 250 with a 7.6% drop after Kuwait's public pension fund on Thursday won a lawsuit against the asset manager

Capital.com is an execution-only brokerage platform and the content provided on the Capital.com website is intended for informational purposes only and should not be regarded as an offer to sell or a solicitation of an offer to buy the products or securities to which it applies. No representation or warranty is given as to the accuracy or completeness of the information provided.

The information provided does not constitute investment advice nor take into account the individual financial circumstances or objectives of any investor. Any information that may be provided relating to past performance is not a reliable indicator of future results or performance.

To the extent permitted by law, in no event shall Capital.com (or any affiliate or employee) have any liability for any loss arising from the use of the information provided. Any person acting on the information does so entirely at their own risk.

Any information which could be construed as “investment research” has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such is considered to be a marketing communication.