11th Dec 2025 07:00
(Alliance News) - Stocks in London are set to open lower on Thursday, after the US Federal Reserve lowered interest rates as expected and signalled one further reduction in 2026.
The quarter-point cut, the third in successive meetings, takes the Federal Reserve's target range for the federal funds rate to 3.50%-3.75%. Trump ally Stephen Miran once more supported a jumbo half-point move.
Elsewhere, the UK housing market continued to weaken in November as agreed sales and buyer enquiries declined, data published by the Royal Institution of Chartered Surveyors showed Thursday.
New buyer enquiries across the UK in November had a net balance of minus 32%, falling further from minus 24% in October and marking the weakest reading since late 2023. London house prices were the hardest hit by UK government budget tax measures, the report said.
IG says futures indicate the FTSE 100 to open down 5.0 points, 0.1%, on Thursday. The index of London large-caps closed 0.1% higher at 9,655.53 on Wednesday.
Sterling was quoted at USD1.3365 early Thursday, higher than USD1.3332 at the London equities close on Wednesday.
The euro traded at USD1.1686 early Thursday, higher than USD1.1647 late Wednesday. Against the yen, the dollar was quoted lower at JPY156.02 versus JPY156.36.
In the US on Wednesday, Wall Street ended higher, with the Dow Jones Industrial Average up 1.1%, the S&P 500 up 0.7% and the Nasdaq Composite up 0.3%.
In Asia on Thursday, the Nikkei 225 index in Tokyo was down 0.9%. In China, the Shanghai Composite was down 0.9%, while the Hang Seng index in Hong Kong was down marginally. The S&P/ASX 200 in Sydney closed up 0.2%.
Gold was quoted at USD4,211.11 an ounce early Thursday, higher than USD4,200.39 on Wednesday.
Brent oil was trading at USD61.80 a barrel early Thursday, higher than USD61.42 late Wednesday.
In Thursday's corporate calendar, Avon Technologies releases full-year results.
In the economic calendar on Thursday, there is Irish consumer price inflation and comments from Bank of England Governor Andrew Bailey.
Also, look out for the interest rate decision from Switzerland.
By Emma Curzon, Alliance News reporter
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