The UK’s top stock market has ended the week in the red as oil prices retreated, despite the release of stronger-than-expected retail sales data.
The FTSE 100 slipped 26.88 points, or 0.32%, to close at 8,358.25 on Friday.
Housebuilders were among the day’s biggest fallers, losing some ground after making gains earlier in the week.
Retail stocks including Next, Marks & Spencer and JD Sports Fashion also moved lower despite new official figures showing retail sales grew by more than expected last month.
Nevertheless, the 0.3% increase in September was slower than the 1% growth recorded the previous month, with declining grocery sales dragging on growth, particularly in the technology sector.
Meanwhile, sharp movements in the price of oil continued on Friday, with Brent crude tumbling more than 2% to about 72.70 US dollars when European markets closed.
Chris Beauchamp, chief market analyst at IG, said: “Oil came into Friday’s session looking like it was prepared to form a low after recent losses but the sellers took the opportunity to hit the commodity hard, driving it to a fresh two-week low.
“It was a different story for gold, which has hit yet another record high, driven by continued geopolitical worries, central bank buying and falling interest rates.
“2024 continues to be a banner year for gold bugs, with no sign of the gains being reversed yet.”
It was a stronger session for other top markets in Europe. In Paris, the Cac 40 moved up 0.39% and in Frankfurt, the Dax closed 0.38% higher.
In New York, the S&P 500 was up about 0.3%, and Dow Jones had dipped 0.1% by the time European markets closed.
The pound was down about 0.1% against the euro at 1.2, having skirted a two-year high against the currency during the day.
Sterling was up 0.1% against the US dollar at 1.303.
In company news, shares in Boohoo dropped after the company announced its chief executive was going to be stepping down and that it was launching a strategic review in efforts to improve shareholder value.
The online fashion retailer said John Lyttle had informed the company’s board of his decision to leave his role after five years.
Boohoo shares closed 8.4% lower amid increasing speculation that a strategic review could lead to a potential break-up of the business.
Shares in Mothercare rallied after the children’s retailer told shareholders it returned to profit in the year to the end of March, despite generating fewer sales.
The brand, which operates through franchise partners, said falling sales largely reflected challenges in its markets in the Middle East, which make up about two fifths of its total sales.
The UK was among the regions to see sales grow year-on-year, it said. Shares in Mothercare closed 40.5% higher.
The biggest risers on the FTSE 100 were Prudential, up 18.6p to 673.4p, Fresnillo, up 18.5p to 703p, Anglo American, up 42p to 2,379.5p, Endeavour Mining, up 32p to 1,872p, and Antofagasta, up 26.5p to 1,829p.
The biggest fallers on the FTSE 100 were DS Smith, down 15.8p to 447p, British American Tobacco, down 88p to 2,640p, Vistry, down 22.5p to 968.5p, Next, down 210p to 10,245p, and Taylor Wimpey, down 3.1p to 162.95p.