FTSE 100 today: Pound climbs, index dips over Trump’s tariff move

Published 01/08/2025, 13:16
Updated 01/08/2025, 17:06
© Reuters.

Investing.com -- British stocks declined on Friday trade after President Donald Trump announced fresh levies on imports from dozens of countries, while the pound rose to above $1.3250 against the dollar following the latest NFP data.

The blue-chip FTSE 100 index dipped 0.7%, while the DAX index in Germany fell 2.5% and the CAC 40 in France dropped over 2.9%.

Trump latest round of tariffs 

U.S. President Donald Trump signed an order Thursday imposing fresh tariffs on imports from dozens of countries, including a 39% levy on Swiss goods that sent shares of Watches Of Switzerland Group PLC (LON:WOSG) tumbling as much as 8.9% Friday.

The U.K.-listed luxury watch retailer, which sells brands like Rolex and Patek Philippe, relies heavily on its high-margin U.S. business, making it particularly vulnerable to the new trade measures.

The broader market reaction has been relatively contained compared to the dramatic selloff in April when Trump first threatened the tariffs.

FTSE 100 movers: IAG reports strong Q2 travel boost; Intertek slides on FX, IMI steady

Meanwhile, International Consolidated Airlines Group S.A. (LON:ICAG) reported a 35.4% jump in second-quarter operating profit before exceptional items to €1,680 million, beating analyst expectations by 16%.

The airline group benefited from strong travel demand, lower fuel costs and favorable currency movements. Revenue grew 8.0% to €15,906 million, exceeding forecasts by 1%.

Engineering firm IMI PLC (LON:IMI) posted 2% organic revenue growth and 5% organic adjusted operating profit growth for the first half of 2025.

The FTSE 100 company maintained its full-year earnings guidance despite challenges from a cyber incident earlier this year. Its adjusted operating margin increased by 30 basis points to 18.2%.

Intertek Group PLC (LON:ITRK) shares fell over 6% despite reporting first-half adjusted EBITA of £276 million, in line with expectations.

The company’s adjusted EBITA margins improved 60 basis points to 16.5%, ahead of the 16.3% consensus, but increased foreign exchange headwinds overshadowed these results.

Pearson PLC (LON:PSON) shares rose more than 6% after the education company reported a 2% increase in both underlying sales and adjusted operating profit for the first half, beating analyst expectations.

The company expects growth to accelerate in the second half of the year.

Aerospace and defense firm Melrose Industries PLC (LON:MRON) saw its shares climb 5% after reporting first-half adjusted operating profit up 26% to £310 million, above consensus forecasts of £299 million.

Group revenue came in at £1.72 billion, down 1% from a year earlier and below the £1.75 billion estimate.

The company lowered its full-year guidance due to foreign exchange headwinds.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers
© 2007-2025 - Fusion Media Limited. All Rights Reserved.