FTSE 100 retreats as financial and energy stocks drag, GDP data disappoints

Thu, 13th Nov 2025 12:40

Aviva's financial targets disappoint investors

3i Group cautious on new investments

UK economy barely expands in Q3

Nov 13 (Reuters) - London's FTSE 100 fell on Thursday after a three-day run of record highs, dragged by financial and energy shares, as investors assessed disappointing third-quarter economic growth data.

The blue-chip index was down 0.6% as of 12:11 GMT, though it remained within reach of the significant 10,000 points milestone.

The mid-cap FTSE 250 also dipped 0.3%.

Investment banks & brokerages dropped 6.3%, as investment firm 3i Group slumped 14.6%, set for its worst day since May 2022, after the company said it is cautious in deployment of capital into new investment.

Energy sector declined 1.1% after a report showing rising crude inventories in the U.S. reinforced oversupply concerns, bringing down oil prices.

Britain's economic performance showed minimal momentum in the third quarter, with growth hampered by a cyber attack on Jaguar Land Rover in September.

This lacklustre showing reinforced market expectations for an interest rate cut from the Bank of England in December. Finance Minister Rachel Reeves' budget announcement is scheduled for November 26.

Sterling briefly touched a session low following the data release before recovering to trade 0.2% higher.

Global markets remained focused on the flow of economic data from the U.S. after President Donald Trump signed legislation ending the country's longest government shutdown. The 43-day data blackout left both the Federal Reserve and traders uncertain about labour market conditions and inflation trends.

Life insurers fell 1.3% on Thursday, as Aviva dropped 4.3% after the insurer's new financial targets failed to impress investors.

But precious metal miners climbed 8.2% as gold prices hit a more than three-week high.

Homebuilder Persimmon rose 2.3% after reporting a rise in its forward sales despite consumer uncertainty.

Burberry shares rose 2.4%, hitting their highest since July 29, after the luxury brand posted its first quarter of growth in two years.

Wizz Air's shares climbed 8.7% after the airline reported strong first-half operating profit. (Reporting by Utkarsh Tushar Hathi; Editing by Sahal Muhammed)