UK Stock Market Update

(Reuters) – The main UK stock indexes were subdued on Friday, with losses in AstraZeneca and GSK weighing on the blue-chip FTSE 100. This came after data showed Britain's economy contracted unexpectedly in September.

Shares of drugmakers AstraZeneca dropped 2.4% while GSK dipped 3.2%, tracking losses in U.S. and European vaccine makers. This decline followed U.S. President-elect Donald Trump selecting Robert F. Kennedy Jr., who has previously spread misinformation on vaccines, to lead the Department of Health and Human Services.

The FTSE 100, however, edged up 0.1%, helped by a rebound in mining stocks from losses earlier in the week.

The midcap FTSE 250 index remained flat.

Data indicated Britain's economy contracted unexpectedly in September, with growth slowing to a crawl over the third quarter. This presented an early setback for finance minister Rachel Reeves' ambitions to stimulate a sustained pickup, as GDP slipped by 0.1% in monthly terms when economists had forecasted a 0.2% increase.

Russ Mould, investment director at AJ Bell, commented, "The latest UK GDP figures offered evidence of the chilling effect of a Budget build-up filled with warnings about hard decisions."

On Thursday, Reeves promised a reboot of regulation governing Britain's 'crown jewel' financial industry, which she claimed had stifled economic growth.

Land Securities climbed 2% after the commercial property firm forecast annual earnings above market expectations.

TT Electronics soared 37% after Volex Plc stated that the British electronic components maker had declined to engage with it and rejected two takeover offers. Volex, the maker of power products and data connectivity cables, fell by about 13%.