Pedro Goncalves
FTSE 100: London closes in red and Wall Street struggles as surge cools off
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The FTSE 100 and European stocks finished lower on Friday following the Bank of England's inflation impressions report, which shows consumers are still broadly bracing for high rates. US stocks sank as traders continue to digest the Federal reserve's projection of just one rate cut this year.
The FTSE 100 (^FTSE) closed 1% lower, while Germany's DAX (^GDAXI) fell about 1.3% and the CAC in Paris (^FCHI) dropped 2.7%.
The pan-European Stoxx 600 (^STOXX) was down 1%.
The Dow Jones Industrial Average (^DJI) sank about 0.4% to lead the declines, while the S&P 500 (^GSPC) shed 0.4%. The tech-heavy Nasdaq Composite (^IXIC) dropped 0.3%.
US stocks are losing steam after the benchmark S&P 500 and the Nasdaq nailed record closes for the fourth day in a row, boosted by strength in techs. Both indexes are still on track for weekly gains.
Company bosses have been in the spotlight going into the weekend: Tesco boss Ken Murphy is set to take the heat for his £10m pay packet at the company's annual meeting on Friday. Responsible Investment group ShareAction pointed out his pay was 430 times what the average Tesco employee earns, with the bounty difficult to justify in a period of high inflation for consumers across the UK.
Earlier this week, Tesla's Musk also celebrated the approval of his $56bn pay deal — a sign that the exec still has shareholders' backing.
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