British stocks concluded the trading week essentially unchanged, with the FTSE 100 index dipping by 0.09%, following recent data that indicated a slowdown in UK economic growth during the third quarter. The UK's quarterly gross domestic product (GDP) increased by a mere 0.1% in the three months leading to September, a decline from the previous quarter's growth of 0.5%, and falling short of the anticipated 0.2%, as reported by the Office for National Statistics.
This latest statistic arises amid growth within the services sector and construction output, contrasted by a downturn in production. Additionally, monthly GDP declined by 0.1% in September, primarily influenced by significant falls in manufacturing output and information and communication services, which also did not meet previous expectations of a 0.2% increase.
"We shouldn't overthink the GDP numbers we've been getting recently. The Bank of England has made it abundantly clear that it's not putting much weight on them," an analyst from ING stated. "Instead, officials are still laser-focused on services inflation, the next batch of which is due next week. Barring any downside surprises, we believe the next move in December will be a pause, before considering another rate cut in February." In addition to the inflation figures expected on November 20, the ONS plans to release new public sector net borrowing data on November 21 and retail sales data on November 22.
The GfK consumer confidence index, alongside S&P Global PMI data and CBI industrial trends orders, will also be unveiled on November 22. In corporate news, power products manufacturer Volex ($VLX) reported that TT Electronics ($TTG) has refused to engage with its recent overtures, turning down two takeover proposals.
Volex also experienced a notable increase in attributable profit and revenue for the 26 weeks concluding on September 29. By the close of trading on Friday, Volex saw a decline of 10.77%, whilst TT Electronics enjoyed a remarkable increase of 40.51%. "Positive for the current share price, but we see the offer as still undervaluing TT even on its depressed earnings – even before considering the significant self-help underpin," RBC commented.
Furthermore, Land Securities Group ($LAND) returned to profitability in the six months that ended on September 30, despite observing a year-over-year decline in revenue. For fiscal 2025, the real estate company revised its outlook for EPRA EPS upwards, forecasting it to align with the prior year's performance.
As a result, Landsec experienced a rise of 4.31%, marking it as the top gainer among FTSE 100 companies at the market's close..