Trading Economics-
The FTSE 100 edged up on Tuesday, as gains in defensive utility and defence stocks balanced out losses in mining shares, which fell after weak Chinese economic data. Defence firm Chemring surged in the FTSE 250 after saying it expects to benefit from higher government defence spending, boosting sentiment across defence stocks. Utilities also outperformed as investors took a more cautious stance amid global uncertainty. In contrast, Pearson shares dropped following a disappointing update from IDP Education. Homebuilders were under pressure after MJ Gleeson issued a profit warning, citing a slow housing recovery and planning delays. Vistry fell around 5%, while Persimmon, Crest Nicholson, and Barratt also declined. BoE policymakers told Parliament that despite economic uncertainty, interest rates are still likely to fall. Meanwhile, the OECD warned that the UK’s limited fiscal headroom leaves it vulnerable to economic shocks under Chancellor Rachel Reeves's current spending rules.
