FTSE 100 Rose Despite Sharp Decline in Retail Sales

Britain's stock index FTSE 100 rose 0.35% on Friday, despite new data showing that retail sales in April fell sharply—the steepest decline in nearly a year.

Investor sentiment is being supported by the fact that markets are still anticipating a possible de-escalation of the global energy crisis and the Iran conflict.

FTSE 250 rose more strongly, gaining 0.65%, helped by positive results in the technology sector.

The decline in Britain's retail sales suggests that consumers are cutting spending against a backdrop of rising energy costs and economic uncertainty. However, according to recent surveys, sentiment has improved somewhat, but demand for major purchases remains at low levels.

Softcat emerged as a major growth driver, upgrading its forecast and stating that demand for artificial intelligence-based infrastructure is growing significantly.

According to Matthew Gillman's assessment, British equities currently appear stable, though compared to global markets, investors are showing greater preference for cyclical or high-growth regions.

Markets are also closely monitoring the negotiations surrounding Iran's war. U.S. State Department Spokesperson Marco Rubio stated that there are "positive signs" in the negotiations, though an agreement is not yet guaranteed.

At the same time, issues related to the Strait of Hormuz remain disputed, including tensions surrounding Iran's nuclear program, which keeps risks in energy markets alive.