FTSE 100 Flat Near 3-Week Low Ahead of Central Banks

The FTSE 100 Index dropped 49 points or 0.47 percent on Monday to close at 10330 points. Losses were led by Entain (-4.92%), Marks & Spencer (-4.88%) and J Sainsbury (-3.28%). Offsetting the fall, top gainers were Smith & Nephew (1.81%), M&G (1.60%) and Burberry (1.32%).

The FTSE 100 slipped 0.5% on Monday, hitting a four-week low as investors stayed cautious ahead of developments in US-Iran relations while also bracing for a heavy week of corporate earnings and central bank meetings. Energy and consumer stocks weighed on the index, with Shell down about 1.8%, Unilever falling 1.1% and British American Tobacco losing 1.5%. GSK, Rio Tinto and Glencore also declined. In contrast, AstraZeneca, Rolls-Royce and BAE Systems posted modest gains, helping to limit losses. Market focus is now shifting to a series of key policy decisions from the Federal Reserve, European Central Bank, Bank of Japan, Bank of Canada and Bank of England, all due this week. At the same time, earnings season is getting underway with results expected from Barclays, Lloyds Banking Group and NatWest Group, alongside updates from AstraZeneca, GSK and Unilever.

The FTSE 100 hovered around flat on Monday near a three-week low, as investors brace for a packed week of central bank decisions. Oil prices moved higher, with Brent crude above $107 per barrel as the Strait of Hormuz remains largely shut and US-Iran talks showed little progress over the weekend. Energy majors Shell and BP gained around 0.5% to 0.7%. Reports suggest Iran has floated a proposal to reopen the Strait and pause nuclear talks, though no concrete developments have emerged. Attention now turns to rate decisions from the Federal Reserve, European Central Bank, Bank of Japan, Bank of Canada and Bank of England. Earnings season also begins, with updates from Barclays, Lloyds Banking Group and NatWest Group, as well as AstraZeneca, GSK and Unilever.