FTSE 100 Flat as UK Inflation Eases Rate-Hike Bets
The FTSE 100 trades around the flatline after UK July inflation rose to 2.9% year-on-year from 2.6% in June, prompting a modest reduction in Bank of England rate-hike expectations.
The FTSE 100 traded around the flatline on Wednesday as gains in commodity-related stocks were offset by weakness in banking shares.
Lenders came under pressure as investors slightly reduced expectations for a Bank of England rate hike later this year.
UK inflation accelerated to 2.9% year-on-year in July from 2.6% in June, in line with market expectations, although traders viewed the increase as largely anticipated due to higher energy costs.
The data prompted a modest reduction in rate-hike bets.
Smith & Nephew was among the biggest individual fallers, declining as much as 3.7% after CFO John Rogers announced his resignation to take up a position in the US.
Meanwhile, energy and mining stocks provided support.
BP gained around 1%, while Shell rose 0.6%.
Anglo American and Rio Tinto added approximately 0.7% each, and Glencore advanced 0.5%.