FTSE 100 Slips as Mining Shares Drag Down Gains in Energy Sector

The FTSE 100 index dipped slightly on Thursday, primarily due to weak performance in the mining sector, despite strong gains in the energy sector. Tesco's shares rose after lifting its profit forecast, while mining shares fell due to Middle East conflicts and a strong U.S. dollar.

The UK's FTSE 100 index faced a downturn on Thursday as losses in the mining sector overshadowed significant gains in energy stocks. Britain's leading supermarket chain, Tesco, saw a boost in its share price following an optimistic update on its annual profit expectations.

Mining stocks suffered declines as indices tracking industrial and precious metal miners fell. This drop was influenced by global concerns about the Middle East conflict, a robust U.S. dollar, and uncertainty regarding China's economic stimulus impact on demand.

On a brighter note, energy shares rallied for a fifth consecutive session, driven by rising crude prices amid supply disruption fears in the Middle East. Concurrently, Bank of England statements hinted at the potential for rate cuts, influencing a rise in homebuilding stocks.

(With inputs from agencies.)