FTSE 100 Falls Amid Corporate Uncertainties and BoE Rate Decision

The FTSE 100 index experienced a 0.2% decline on Thursday as investors grappled with mixed corporate earnings and awaited a critical interest rate decision from the Bank of England. The central bank is expected to cut rates for the fifth time in a year, though inflation concerns may influence further monetary policy.

Aerospace and defense sectors saw a notable 2.6% drop, impacted by Rheinmetall's underwhelming quarterly results, affecting peers like Britain's BAE Systems and Babcock. Hikma Pharmaceuticals faced a significant 6.7% drop due to a negative margin outlook, while healthcare stocks collectively fell by 1.1%.

Compounding these pressures, President Trump announced incremental tariffs on pharmaceutical imports. In contrast, the FTSE 250 rose by 0.3%, buoyed by Harbour Energy's forecast increase. InterContinental Hotels Group reported strong profits, while WPP's share price hit a significant low.

(With inputs from agencies.)