FTSE 100 Stagnates Amid Federal Reserve Anticipation; Energy Stocks Shine Bright

The UK's FTSE 100 remained flat with minor changes, reflecting cautious investor sentiment before the U.S. Federal Reserve's interest-rate disclosure. Energy stocks performed well, offsetting potential losses. While the Federal Reserve and Bank of England meetings were pivotal, market expectations hinted at future rate cuts. Notably, Compass Group shares fell, while Softcat surged.

On Wednesday, the UK's FTSE 100 index closed flat as investors exercised caution ahead of the U.S. Federal Reserve's crucial interest-rate decision. While the energy sector provided resilience, the index showed little variation, indicating a balanced market response.

Energy stocks emerged as leaders in sectoral performance, fueled by rising oil prices and optimism about a possible Ukraine-Russia ceasefire. Meanwhile, the investor focus remained on key central bank meetings later in the week, especially the Fed's policy announcement, which was expected to influence future rate forecasts and economic growth projections.

The Bank of England also attracted attention with its upcoming policy meeting. Market speculations point towards anticipated rate cuts later in the year amid trade tensions. Despite some stocks like Compass Group declining, the FTSE 100 maintained its lead over S&P 500 performances this year.

(With inputs from agencies.)