22.05.202516:03:45UTC+00FTSE 100 Falls, EasyJet Down 2.6%

On Thursday, the FTSE 100 experienced a decline of 0.5%, affected by lackluster earnings and mixed economic indicators. EasyJet saw its shares decrease by 2.6% following the revelation of a larger pre-tax loss of £394 million for the first half, compared to £350 million in the previous year. Nevertheless, the airline remains hopeful about achieving its full-year profit projections. On the other hand, BT saw a resurgence from earlier losses, ending the day nearly 3% higher. This was attributed to a slight increase in full-year profits, bolstered by robust demand for its fiber network and a £900 million cost reduction initiative. Investor sentiment was further influenced by the rise in long-term bond yields and data on UK public finances, which indicated a greater-than-anticipated rise in the government deficit. Economically, PMI data revealed a decelerating contraction in the UK's private sector activity, fueled by a resurgence in the services sector. However, the manufacturing sector did not fare as well, undergoing a greater-than-expected contraction and shedding jobs at the most rapid rate in five years, underscoring ongoing issues within the industrial sector.