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Wall Street lower as FTSE 100 closes in the red amid global recession fears

FTSE  FILE - Traders work on the floor at the New York Stock Exchange in New York, Thursday, Dec. 29, 2022. Easing inflation and a cooling job market are raising hopes on Wall Street that a gentler Federal Reserve is on the way in 2023. That's despite the central bank's own adamance that it will keep raising rates from their current x-year high and hold them there well into 2024. (AP Photo/Seth Wenig, File)
Wall Street and the FTSE 100 were both lower amid global recession fears. Photo:Seth Wenig/AP

The FTSE 100 and European stocks finished lower this Thursday as concerns linger about persistent inflation in Britain and the US.

The FTSE 100 (^FTSE) lost 0.91% to close at 7,759 points, while the CAC 40 (^FCHI) in Paris fell 1.63% to 6,967 points. In Germany, the DAX (^GDAXI) retreated 1.46% to 14,959.

Across the pond, stocks were lower for a second consecutive day as investors grew increasingly concerned the Federal Reserve will keep raising rates despite signs of slowing inflation.

The Dow Jones (^DJI) fell 0.70% to 33,064 points. The S&P 500 (^GSPC) tumbled 0.87% to 3,894 points and the tech-heavy NASDAQ (^IXIC) retreated 1.11% to 10,835.

The UK blue chip index was dragged down mostly by miners as traders fear a recession will halt demand for commodities such as copper.

Fresnillo (FRES.L) lost 2.68%, Antofagasta (ANTO.L), down 4.11%, Glencore (GLEN.L), which lost 2.05% and oil major BP (BP.L) was down by 2.20% as oil prices slumped.

In the FTSE 250, shares in Dr Martens (DOCS.L) plummeted 29.25% as the business said that unseasonably warm weather last autumn and problems at a warehouse have eaten into its performance in the US.

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In Davos, opposition leader Keir Starmer told global financial leaders that the UK “will be open for business” under a future Labour government.

The plan is to promote Labour’s green prosperity plan to decarbonise the economy, boost energy security and ensure Britain leads in future green industries.

Keir, attending the World Economic Forum meeting, said Labour would push to "bring global investors back".

He said foreign investment had declined sharply under the Conservatives.

His predecessor, Jeremy Corbyn, shunned the elite gathering, which he described as a "billionaires' jamboree".

Meanwhile, Brent crude (BZ=F) bounced back and was trading at around $85/barrel.

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In Asia, Tokyo’s Nikkei 225 (^N225) closed lower, losing 1.44% to 26,405 points, while the Hang Seng (^HSI) in Hong Kong slipped 0.27% to 21,620. The Shanghai Composite (000001.SS) edged higher, climbing 0.49% to 3,240 points.

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