U.K. stocks fell Friday, after fresh data showing stronger-than-expected economic growth and global inflation worries that weighed on investors.
Global yields remained elevated a day after U.S. consumer inflation came in a higher-than-expected 7.5% for January, a 40-year high. That has firmed up the case for not only a Federal Reserve interest rate hike in March, but some Wall Street banks are now calling for numerous U.S. hikes this year, such as seven from Goldman Sachs.
“In December Britain’s economy contracted by 0.2% month-on-month to equal its pre-COVID level from February 2020. However this was better than the 0.6% slump that analysts were expecting. The service sector suffered a 0.5% drop and was the main contributor to the decline,” said Victoria Scholar, head of investment at interactive investor