The FTSE 100 was little changed on Friday as investors took stock of a rollercoaster week for global equities and geopolitics.
London’s leading index was marginally higher at the time of writing as losses in airlines and Burberry offset a strong session for BP and BAE Systems.
“It’s a calmer end to a chaotic week on the markets,” said Dan Coatsworth, head of markets at AJ Bell. “While it looks like a crisis has been averted, investors’ patience has been well and truly tested.”
UK retail sales data for December and the fourth quarter painted a mixed picture of the UK consumer, who opted to buy jewellery and food over other non-food items during the period.
Marks & Spencer reacted well to the data, gaining 1.5%. Tesco was flat.
Babcock was the main corporate story on Friday after the defence group announced its CEO would step down alongside a trading statement. Babcock had a rip-roaring 2025 and has gotten off to a strong start to 2025, so a 2% pullback in shares shouldn’t come as a surprise to investors, as the CEO who delivered bumper returns for investors last year signals his time at the helm is coming to an end.
“No chief executive wants to see their company’s share price fall, but Babcock’s David Lockwood might just afford himself half a smile at the drop on news he is stepping down later this year,” Coatsworth.
“His nominated successor Harry Holt has a hard act to follow. Someone who bought the shares when Lockwood took the top job in 2020 would have subsequently made more than five times their money. He transformed what was a struggling business into globally relevant defence outfit.”
Burberry shares were at the bottom of the leaderboard, down 4%, as investors sold into the strength created by an encouraging trading update released earlier in the week.
BAE Systems was the top riser on the news that it had won a £453m radar contract to add to its growing orderbook. BAE Systems are 15% higher so far in 2026.