London’s FTSE 100 erased early losses to trade marginally higher around 10,590 on Friday, hovering near its highest level since July 8 and putting the index on course for a weekly gain of about 0.9%. The UK benchmark also outpaced its major European counterparts, as the global sell-off in technology shares had only a limited effect. Unlike many leading equity indices, the FTSE 100 has relatively low exposure to technology and is instead heavily weighted toward defensive consumer and healthcare stocks—sectors that are in demand today.
On the corporate front, Burberry dropped 5%, making it the index’s worst performer after its second-quarter results came in slightly below market expectations. Politically, Andy Burnham is expected to be confirmed as the new Labour leader later today, setting him up to become the UK’s next prime minister next week. Investors are now turning their attention to his choice of Chancellor.
