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London's FTSE 100 index retreated after reaching a record high on Tuesday, as declines in AstraZeneca shares and energy stocks outweighed gains from miners. Investors remained cautious ahead of the Bank of England's policy meeting later this week. The blue-chip FTSE 100 index fell 0.4%. AstraZeneca shares dropped 1.5% after U.S. regulators rejected its request for a more convenient version of the lupus drug Saphnelo, delaying potential approval until the first half of 2026. In a week packed with global central bank meetings, the Bank of England is expected to keep its benchmark interest rate steady at 3.75% on Thursday. Additionally, UK grocery inflation slowed to 4.0% for the four weeks ending January 25, its lowest level since April, according to market researcher Worldpanel by Numerator. This provided some relief to shoppers as the BoE closely monitors food prices for indications of broader inflationary trends.

A recent sell-off in commodity-related stocks has pressured the commodity-heavy FTSE 100 index. The decline began after Kevin Warsh, known as a policy hawk, was nominated as the next chair of the U.S. Federal Reserve, prompting leveraged investors to unwind speculative positions. However, Endeavour Mining and Fresnillo emerged as top performers, gaining 5% and 4.3%, respectively, as gold saw its biggest single-day rally since 2008 following a two-session slump. The precious metals miners index surged 4.5%, breaking a three-day losing streak. Other London-listed miners also posted gains, with Anglo American and Antofagasta rising 4% and 3.5%, respectively, as copper prices climbed on supply concerns and an optimistic demand outlook. Meanwhile, energy stocks Shell and BP fell 1.5% and 1.7%, respectively, reflecting a 1% drop in oil prices. This marked the second consecutive decline in oil prices as markets speculated on easing tensions between the U.S. and Iran. The domestically focused mid-cap FTSE 250 index edged up 0.1%.

TECHNICAL & TRADE VIEW - FTSE100

• Daily VWAP Bullish
• Weekly VWAP Bullish
• Above 10200 Target 10450
• Below 10070 Target 9950

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