Miners weigh on the FTSE 100

Last week, UK investors had a tough week, that included a 25-bps rate hike from the Bank of England, data showing slowing business activity in Europe and an unexpected U.S. credit rating cut.

Markets rallied on Friday after lower-than-expected job figures reading in the US, which show that the Fed’s efforts to cool inflation and prevent the economy from overheating are bearing fruits. Atlanta Federal Reserve Bank President Raphael Bostic said the figures show that rate hikes are no longer needed, although the central bank is likely to keep monetary policy in a restrictive territory until next year.  The FTSE 100 gained 0.5% on Friday, but fell 1.6% for the week.

This morning, lower copper prices weighed on miners, pushing the blue-chip index down 0.2%.

Among stocks, Unite Group fell 1.5% after RBC Capital Markets lower its rating to sector perform from outperform.

In other news, UK house prices declined for the fourth consecutive month in July to an average of £285,044.

Things to read today:

The Era of Ultracheap Stuff Is Under Threat (WSJ)

Investors Bet High Rates Will Linger (WSJ)

US scientists repeat fusion power breakthrough (Financial Times)