The FTSE 100 Index Closes 0.04% Lower

The FTSE 100 Index fell 5 points or 0.04 percent on Friday to close at 10374 points. Leading the losses are Natwest (-3.52%), AstraZeneca (-3.13%) and Endeavour (-2.54%). Top gainers were Entain (4.82%), DCC (4.60%) and Whitbread (3.36%).

The FTSE 100 closed nearly unchanged at 10,380 points in the first trading session of May, as investors balanced NatWest’s cautious update and a drop in oil prices against reduced expectations for Bank of England rate hikes. NatWest slumped 3.5% to the bottom of the index despite reporting a first-quarter pretax operating profit of £2.03 billion, which beat expectations and strengthened its income outlook. However, the bank warned of economic risks tied to the Iran conflict. Energy shares also declined, with BP dropping 1.9% and Shell 0.9%, as oil prices fell following Iran’s new proposal to the US, with the Strait of Hormuz remaining closed. Pearson, meanwhile, rose over 3% after reporting a 4% increase in first-quarter sales, led by its Virtual Learning division, and reaffirmed its 2026 guidance. Diageo shares added 0.6% following US President Donald Trump’s announcement of partial tariff relief on Scotch whisky. UK markets will be closed on Monday for the bank holiday.

The FTSE 100 declined 0.4% to 10,340 points in the first trading session of May, dragged down by banking stocks after NatWest’s earnings report and escalating concerns over the Middle East. NatWest posted a Q1 pretax operating profit of £2.03 billion, surpassing expectations and reinforcing its income outlook, but warned of economic headwinds from the Iran conflict. Pearson gained over 1% as the education publisher reported a 4% rise in Q1 sales, driven by strong performance in its Virtual Learning division, and reaffirmed its 2026 guidance. Diageo shares jumped 1.6% following US President Donald Trump’s announcement that he would lift some tariffs on Scotch whisky after a visit from King Charles III. Elsewhere, oil prices continued to climb, as Trump maintained a naval blockade of Iranian ports. On the macroeconomic front, UK house price growth slowed to 0.4% in April from 0.9% in March, defying forecasts of a 0.3% decline.