FTSE 100 Dips As Defense Stocks Drag

(RTTNews) - U.K. stocks traded lower on Monday after rising last week on optimism that the U.S. economy would dodge a recession, and cooling inflation would kick off a cycle of interest rate cuts.

The benchmark FTSE 100 was down 14 points, or 0.2 percent, at 8,297 after falling 0.4 percent on Friday.

Aerospace and defense stocks inched lower after reports suggested that Germany, the second largest contributor of aid to Ukraine, plans to halve its military aid to Kyiv in 2025 due to spending cuts.

BAE Systems fell 2.7 percent, Rolls-Royce Holdings dipped 2.1 percent and Chemring declined 1 percent.

Plus500 jumped 4.1 percent after the online trading platform announced a strong set of interim results and forecast its annual results to be above market view.

Housebuilder Barratt Developments gained 0.8 percent and rival Redrow rallied 2.3 percent. The two companies announced in a joint statement that a merger deal between them will be completed later this week.