UK growth jitters meet global tech-driven momentum:

                                                       Source: Krish Capital Pty Ltd

Index Update: The FTSE 100 index, a key benchmark index for the London stock exchange, went up around 0.19% on 23 September 2025.  

Macro Update: Britain faces mounting economic and regulatory challenges as it risks falling behind in the digital finance race, with no clear framework yet for the $280bn stablecoin market while peers like the U.S., EU, and Japan move ahead. Business confidence has weakened ahead of Finance Minister Rachel Reeves’ November budget, with PMI slipping to 51.0 and firms wary of potential tax hikes. The economy also took a hit from Jaguar Land Rover’s extended factory shutdown following a cyberattack, disrupting supply chains and costing millions. Meanwhile, Bank of England Chief Economist Huw Pill dissented on slowing quantitative tightening, preferring a quicker unwind, even as rates held at 4%. The pound dipped after weak data, with analysts warning of further softness despite relative resilience versus the dollar and euro. Amid these headwinds, Smiths Group delivered a bright spot, posting better-than-expected profit and revenue on strong demand for detection and semiconductor products, guiding for 4–6% organic revenue growth into 2026. 

Top Market Movers: Among top gainers on FTSE 100 index, Kingfisher PLC (LSE: KGF) witnessed a rise of 15.98% followed by Howden Joinery Group PLC (LSE: HWDN) which gained around 3.58%. 

Commodity Update: The U.S. dollar softened in early Asian trading on Tuesday as Federal Reserve comments guided focus toward upcoming core PCE data. Attention also centred on the global effects of President Trump’s economic policies. Gold gained 0.05% to $3,777.10, silver slipped 0.35% to $44.05, and copper eased 0.18% to $9,983.10. Brent crude fell 0.45% to $66.26, pressured by geopolitical tensions in the Middle East and Russia, alongside tariff concerns dampening fuel demand. 

Our Stance: Global markets are balancing optimism around AI and monetary policy against political and regulatory uncertainties. President Trump stirred controversy by linking autism to vaccines and Tylenol use in pregnancy, elevating unproven claims into health policy, while also backing a $100bn Nvidia-OpenAI partnership that has raised antitrust concerns. Investors remained cautious ahead of Fed Chair Powell’s remarks, with policymakers split on the pace of rate cuts as inflation and labor market risks collide. Despite this, AI enthusiasm drove Wall Street and European equities to fresh highs, gold hit a record, and oil prices edged up after Iraq and Kurdish authorities struck a deal to restart exports, though supply risks and weak demand persist. Meanwhile, the U.S. dollar steadied as markets reassessed Fed signals, reflecting a wait-and-see stance on near-term policy direction. 

FTSE 100 

The FTSE 100 closed at 9,249.45, up 0.22%, while staying above key support at 8,900 and the 50-day SMA at 9,151.79. The index trades just below the 21-day SMA at 9,227.42, suggesting constrained upside momentum and scope for consolidation. The RSI near the midpoint reflects a neutral to mildly positive bias. Immediate support is positioned at 8,950, with resistance levels observed at 9,500 and 9,800. 

Source - EODHD/Others