FX.co ★ FTSE 100 Little Changed After Poor GDP Data

The FTSE 100 index experienced a slight decline on Thursday, as recent UK GDP figures revealed an unexpected contraction of 0.3% in April, highlighting concerns about the country's economic momentum. Adding to investor anxiety, US President Donald Trump reignited trade tensions by announcing his intention to issue letters to various countries within the next two weeks, proposing unilateral tariffs ahead of a July 9 deadline. Trump indicated that these nations would be presented with a "take it or leave it" ultimatum. In April, UK exports to the US dropped to a record low, following earlier tariff implementations. The disappointing GDP data has led to increased speculation that the Bank of England might consider reducing interest rates sooner than previously anticipated. On the corporate side, Tesco upheld its profit forecasts and reported a 4.7% increase in like-for-like sales for the 13 weeks leading up to May 24. This growth was largely attributed to robust performance in its UK and Ireland operations, particularly within the fresh food and non-food sectors such as home and clothing, supported by favorable weather conditions.