FTSE 100 Slips As Growth Stalls And Inflation Persists

Index Update: The FTSE 100 index, a key benchmark index for the London stock exchange, was trading declined around 0.16% on 13 February 2026. 

Macro Update: The UK economy remains in a state of near stagnation, with GDP growing just 0.1% in Q4 2025. While manufacturing has hit a 17-month high, the services sector is stalling. With inflation at 3.4% and unemployment rising to 5.1%, the Bank of England currently maintains interest rates at 3.75%. 

Top Market Movers: Among top gainers on FTSE 100 index, Relx PLC (LSE: REL) witnessed a rise of 5.21% followed by Experian PLC (LSE: EXPN) which gained around 3.57%. 

Commodity Update: The Japanese yen headed for its strongest weekly performance in nearly 15 months, supported by confidence after Prime Minister Sanae Takaichi’s election victory eased fiscal concerns. In commodities, gold rose 1.12% to USD 5,004.30, silver gained 1.62% to USD 76.90, and copper added 0.75% to USD 12,985. Brent crude advanced 0.40% to USD 67.55 but remained on track for a second weekly decline amid easing Iran-related supply risks.    

Our Stance: The UK maintains a cautious fiscal stance, balancing sluggish 0.1% growth against persistent 3.4% inflation. While manufacturing shows resilience, the Bank of England holds rates at 3.75% to curb prices, prioritizing long-term stability over immediate stimulus as unemployment climbs toward 5.3%. 

FTSE 100: The FTSE 100 gained 19.64 points to close at 10,491.75, continuing to trade comfortably above the key 9,800 support zone, which underpins the broader structure. The 21-day and 50-day SMAs remain below current levels, providing dynamic support and allowing room for short-term consolidation. The RSI at 70.82 signals firm momentum, though it is approaching elevated territory. Immediate support is positioned around 9,800–9,950, while resistance is seen near 10,600–10,700. 

Source: Charts by EODHD/Others