UK steadies while global markets eye U.S. trade and fiscal risks:

Image Source : Krish Capital Pty Ltd

Index Update: The FTSE 100 index, a key benchmark index for the London stock exchange, went down around 0.17% on 30 June 2025.  

Macro Update: UK economic developments on Tuesday painted a mixed picture. BoE Governor Andrew Bailey flagged labour market weakness and global uncertainty as key risks to growth, with inflation risks still being monitored. Manufacturing showed signs of easing decline, while Sainsbury’s posted strong sales but held its outlook. Aviva’s £3.7 billion acquisition of Direct Line was cleared, and The Crown Estate reported steady profits, though wind lease revenues may drop. Mpac warned on profits due to U.S. tariffs, and arrests were made in the Lucy Letby case. The FTSE 100 slipped, but midcaps saw their best quarterly gain in nearly five years. 

Top Market Movers: Among top gainers on FTSE 100 index, Endeavour Mining PLC (LSE: EDV) witnessed a rise of 2.87% followed by Glencore PLC (LSE: GLEN) which gained around 2.12%. 

Commodity Update: The U.S. dollar hit its weakest level against the euro since September 2021 amid rising fiscal concerns linked to President Donald Trump’s spending bill and ongoing trade uncertainty. Markets are increasingly pricing in a quicker pace of Federal Reserve rate cuts ahead of key U.S. data, including Thursday’s nonfarm payrolls report. Gold rose 0.67% to $3,329.70, silver dipped 0.02% to $35.84, copper edged down 0.01% to $9,873.30, and Brent crude slipped 0.24% to $66.58. 

Our Stance: Global markets remained cautious on Tuesday as investors tracked U.S. trade negotiations and Senate debates over President Trump’s proposed $3.3 trillion tax-and-spending bill, which has sparked debt concerns and party divisions. While U.S. stock futures dipped following a strong quarterly rally, European markets edged lower amid tariff uncertainty. Gold prices rose over 1% as investors sought safety amid fiscal and geopolitical worries, while oil remained steady ahead of the expected OPEC+ production hike. A weaker dollar supported emerging market currencies, though mixed equity trends reflected the broader market's wait-and-see approach ahead of the July 9 tariff deadline. 

FTSE 100 

The FTSE 100 is trading slightly lower, down 0.25% at 8,739.36, as it nears a key resistance zone while staying just below the 21-day Simple Moving Average—signaling mild short-term pressure. However, the index remains above its 50-day SMA, supporting the broader bullish trend. The RSI at 47.74 reflects moderate momentum, suggesting possible consolidation. With strong support at 8,600 holding firms, continued stability may attract fresh buying. Overall sentiment remains cautiously optimistic, guided by sector rotation and shifting macroeconomic indicators shaping investor positioning.  

FTSE 100 Technical Chart, Source - EODHD/Others