FTSE 100 Stumbles as HSBC's Decline Rattles Banking Sector

The FTSE 100 declined due to a significant fall in HSBC shares, impacting the banking sector. Despite losses, miner gains provided some support. Other notable movements included Lloyds Banking's decline and Volution Group's rise. The FTSE has shown strong weekly performance, buoyed by resource-linked stocks and renewed pharmaceutical interest.

Devdiscourse News Desk | Updated: 09-10-2025 16:42 IST | Created: 09-10-2025 16:42 IST

FTSE 100 Stumbles as HSBC's Decline Rattles Banking Sector — This image is AI-generated and does not depict any real-life event or location. It is a fictional representation created for illustrative purposes only.

The FTSE 100 fell on Thursday, reversing gains from the previous session's record high. This downturn was driven by a sharp 5.8% drop in HSBC shares, which also pulled the broader banking sector down by 3.3%.

HSBC plans to purchase minority interests in Hong Kong's Hang Seng Bank, impacting its valuation. Lloyds Banking Group and Close Brothers also reported declines, while a continued slowdown in Britain's housing market further pressured homebuilders.

Elsewhere, mining stocks rose as copper prices climbed, with Anglo American among the top performers. The FTSE 100's recent highs were primarily due to strong performances in resource-linked stocks and a revived interest in pharmaceutical shares.

(With inputs from agencies.)