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UK stocks dropped significantly on Friday and are set to finish the week with considerable losses, as fears of a recession grew following China's response to the declaration of extensive tariffs by U.S. President Donald Trump. The FTSE 100 reached its lowest point since last December and is on track for its largest weekly decline since February 2022. The midcap index, which focuses on domestic companies, decreased by 4% and is set for its most significant weekly drop since March 2020. China, now subjected to a total of 54% tariffs on exports to the U.S., plans to introduce an additional 34% tariffs on all U.S. imports starting April 10, according to its finance ministry announced on Friday. In contrast, Britain received the lowest import duty rate of 10% in Trump's tariff announcement on Wednesday, although officials recognised the nation's susceptibility to global economic challenges. Bank stocks declined for the second day in a row as tariff anxieties heightened concerns regarding growth in the world's largest economy. Barclays led the losses in this sector on the blue-chip index, with a 10% drop, followed by HSBC Holdings, Lloyds Banking Group, and Standard Chartered. The UK's banking sector index decreased by 8%, reaching a three-month low. The mining companies' index also fell by 6.3% as London copper experienced its most significant weekly decline in nearly five months amid tariff worries.

Single Stock Stories & Broker Updates:

• Oil firms Serica Energy and Enquest extend losses as the UK Takeover Panel pushes the merger deadline to May 2. Serica (SQZ) falls 8% to 123.4p, while Enquest (ENQ) drops 3.2% to 14.06p. Serica shares are down ~1% YTD, while Enquest is up ~16%. Global economic concerns deepen as U.S. tariffs prompt Chinese retaliation.

• BP's stock was down 1.3% at 395.2Helge Lund, the board's chairman, plans to retire, probably in 2026. Analysts at Jefferies note, "It also probably demonstrates the first significant effect of Elliott's involvement." BP announced that it has begun a succession process for the position. * "(Elliott) will now turn attention to CEO Murray Auchinloss – his attempts to pivot BP away from green energy look half hearted and we suppose that Elliott will want a new CEO that can undertake a proper reset on strategy," said Ashley Kelty, a Panmure Liberum analyst. This year, BP's stock has increased by almost 2%.

Technical & Trade View

FTSE Bias: Bullish Above Bearish below 8950

• Primary support 8700
• Below 8700 opens 8600
• Primary objective 9050
• Daily VWAP Bearish
• Weekly VWAP Bearish

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