FTSE 100 remains flat amid US growth and Middle East tensions

The FTSE 100 ended largely unchanged on Wednesday as positive economic data from the United States was countered by geopolitical tensions in the Middle East. While London markets saw a mid-afternoon boost following reports of accelerating US business activity, gains were limited by a defiant address to the United Nations by Iranian President Masoud Pezeshkian.

In the US, S&P Global’s flash composite PMI output index rose to 58.4 in September, marking a 62-month high and exceeding consensus expectations. This surge was driven by growth in both the manufacturing and service sectors. Conversely, the UK experienced a slowdown in private sector growth during September due to domestic economic conditions and geopolitical uncertainty.

Other major indices also faced downward pressure. In Europe, the CAC 40 in Paris fell 0.4% and the DAX 40 in Frankfurt dropped 0.7%. In New York, the Dow Jones Industrial Average, S&P 500, and Nasdaq Composite all recorded losses.