On Thursday, the main stock index in the UK, the FTSE 100, experienced a slight dip due to a drop in shares of mobile operator Vodafone. Meanwhile, investors were assessing the potential effects of continued interest rate hikes on the British economy.
The FTSE 100 was down 0.1%, while the domestically-focused FTSE 250 midcap index rose 0.1%. The Bank of Canada's surprise rate hike led to concerns that major global central banks could maintain their tightening cycles for a longer period, and investors are now waiting for data on UK labor market, economic growth, and monthly industrial and manufacturing output next week to assess the state of the economy.
The precious metals and chemicals sectors were the worst hit, while the automobiles and construction and materials sectors were the top gainers. Vodafone Group experienced a 4.4% drop after reports of a merger agreement for their British operations with Hutchison, and Crest Nicholson Holdings fell 5.8% after warning of a further slowdown in the British housing market.
On the other hand, Wizz Air Holdings rose 2.6% after forecasting a net profit of 350 million euros to 450 million euros in its current financial year.
