FTSE 100 slides as mining losses and interest‑rate outlook weigh on UK market

The FTSE 100 fell further on Friday, dropping 0.34% to 10,364.63 as mining stocks led the decline. Fresnillo, Antofagasta, Anglo American, Endeavour Mining, Glencore and Rio Tinto all lost between 1.8% and 3.3%. BHP Group fell more than 2.5% after announcing a $2.3 billion impairment on its Jansen potash project.

The weakness came amid a cautious mood over the Middle‑East truce talks and after the Bank of England kept interest rates on hold, while a hawkish Fed outlook raised expectations of a US rate hike. The pound slipped to $1.32 and UK retail sales showed a stronger‑than‑expected 1.2% rise in May, contrasting with an April fall.

Separately, hotel group PPHE saw its shares plunge 10.3% after Fattal Hotel Group abandoned a £22‑per‑share bid to acquire it, citing opposition from a major shareholder. Government borrowing for May surpassed forecasts, reaching £23.2 billion, adding pressure on fiscal outlook.