FTSE dips on Trump tariff accusations

The FTSE 100 joined European counterparts by losing ground as traders awaited news on whether the US president will introduce tariffs on cars and auto parts.

London’s top flight closed 14.23 points lower at 7,351.21, with Donald Trump accusing the EU of imposing “terrible” trade barriers, while the pound was also subdued after a greater-thanpredicted decline in inflation.

David Madden, market analyst at CMC Markets UK, said: “Dealers were hoping for clarity in relation to trade, and many were expecting the US leader would defer making a decision on EU auto tariffs, but instead he boasted about his achievements.”

Sterling stagnated after inflation fell to its lowest reading in almost three years at 1.5 per cent, missing the Bank of England’s 2 per cent target.

The British currency lost 0.07 per cent versus the dollar at $1.283 and 0.05 per cent against the euro at €1.166.

In company news, shares in Royal Mail moved 1.4 per cent higher after the delivery firm won a High Court injunction to block potential strikes by postal workers.

The company brought legal action against the Communication Workers Union after members voted to back walkouts by 97 per cent, on a turnout of 76 per cent.

Pub group JD Wetherspoon also finished higher after it revealed like-for-like sales were up 5.3 per cent in the 13 weeks to 27 October.

Shares rose 2.7 per cent to 1,566p, despite chairman Tim Martin launching an attack on corporate governance rules and advisers which he said are causing companies to collapse.