08.10.202607:52:27UTC+00FTSE 100 Hits Lowest Level Since June

The FTSE 100 slipped to around 10,400 points on Thursday, its lowest level since June 19, as climbing oil prices and renewed pressure in global bond markets weighed on risk appetite. Sentiment was further shaped by minutes from the Federal Reserve, which showed that most policymakers still anticipate another interest rate hike this year.

Brent crude rose to a two-week high on mounting worries over escalating tensions in the Middle East and the risk of supply disruptions, amplifying concerns about inflationary pressures.

In corporate news, Tesco jumped more than 3% after reporting a 6.3% increase in first-half adjusted operating profit to £1.78 billion. The results prompted the supermarket group to upgrade its full-year guidance and lift its share buyback programme to £950 million. Imperial Brands added 3% after unveiling a £1.5 billion share buyback. By contrast, Vodafone slipped 1% even as it raised its annual VodafoneThree cost-saving target to £1 billion by 2032.

Broader UK property sentiment deteriorated, with the RICS house price balance weakening to -32% in September from -28% in August.