FX.co ★ FTSE 100 Pulls Back

On Monday afternoon, the FTSE 100 experienced a downturn as the initial excitement surrounding the EU-US trade agreement began to wane and attention shifted towards upcoming central bank decisions and corporate earnings reports. Although the trade agreement eased some immediate concerns, critics point out that it predominantly benefits the US and does not entirely eliminate trade risks, particularly with President Trump's impending August 1 deadline for other nations to finalize deals. Investors are now focused on the Federal Reserve's interest rate decision expected on Wednesday, the Bank of Japan's announcement on Thursday, and the Bank of England's decision next week. With a busy schedule for earnings announcements, market sentiment has become more cautious. Notably, BT experienced significant losses, falling over 5%, while Marks & Spencer declined by 2.3%. Mining companies such as Glencore, Rio Tinto, Antofagasta, and Anglo American saw decreases ranging from 1.3% to 2%. Additionally, Vodafone and Diageo exerted downward pressure on the index, with drops of 2% and 1.7%, respectively.