The FTSE 100 closed 0.13% higher on Thursday as UK equities broadly advanced despite turbulent geopolitical conditions affecting global markets.
US President Donald Trump issued stark warnings of economic consequences against any country whose financial institutions, businesses, airports, or government entities provide support to Iran.
Trump declared his government is planning “economic warfare and isolation on an unprecedented scale” against Tehran, describing it as the “most crushing economic operation ever taken against any country!”
The warnings came as nuclear talks between Washington and Tehran remained on hold, adding a layer of uncertainty to global markets already navigating a fragile trading environment.
JD Sports Fashion (JD.L) was the session’s biggest loser on the blue-chip index, with shares slumping 14.19% after the retailer cut its fiscal 2027 profit guidance.
The sports retailer lowered its outlook for profit before tax and adjusting items to between 700 million pounds and 800 million pounds, down from its previous range of 750 million pounds to 850 million pounds.
JD Sports reported total sales of 5.9 billion pounds for the 26 weeks ended August 1, falling 0.7% year-over-year on an organic basis and 2.8% on a like-for-like basis.
Deutsche Numis Research noted that “JD Sports reported a weaker than expected 2Q especially in US which sees FY guidance cut of c. -4% at mid point v cons.”
The research firm added that “by region, North America LFL -6.8%, Europe -2.7%, UK +0.8% and Asia +1.4%,” with footwear remaining weak amid product cycle headwinds and a promotional market.
Deutsche Numis also observed that “space growth remained supportive, contributing +2.1% to Group sales in 1H despite a lower store count,” while apparel and accessories continued to perform well across regions.
On the economic front, UK manufacturing showed signs of improvement, with the order book balance rising sharply to -25% in August from -45% in July.
Export orders rebounded to normal levels for the first time in over four years, surpassing expectations of -40%, though total new orders remained below their long-run average of -14%.
CBI Senior Economist Cameron Martin said “firms also expect output to fall at a much slower pace over the next three months,” offering a cautiously optimistic signal for the sector.
However, Martin cautioned that “it is too soon to know whether this marks the beginning of a sustained shift in conditions, particularly given ongoing cost pressures reported by manufacturers, with selling price expectations in our survey picking up again and remaining well above historical norms.”