London close: Stocks end quiet session in the red
By Michele Maatouk
Date: Monday 17 Aug 2026
(Sharecast News) - London stocks ended a quiet session in the red on Monday, unable to hold on to earlier gains despite strength in the mining sector.
The FTSE 100 closed 0.3% lower at 10,720.30, while Brent crude was up 0.5% at $88.94 a barrel and West Texas Intermediate was 0.3% firmer at $83.67.
Danni Hewson, head of financial analysis at AJ Bell, said: "It's been a relatively quiet start to the week for UK markets ahead of what will be a data-fuelled few days.
"Concerns about continued tensions in the Middle East have kept the oil price elevated and fed into worries about the anticipated path of inflation. Food retailers including Tesco and Sainsbury's have seen their shares fall as investors consider how rising prices might impact supermarket margins and consumer confidence as we head into the autumn.
"There are also nerves about the sluggishness of the UK housing market as asking prices edge down, with sellers making proactive decisions on price in order to try and generate sales before the country gets into the pre-Budget weeds.
"Home improvement companies Wickes and Howden Joinery both edged down, and investors are clearly wary about what a potential reheating of inflation could mean for the Bank of England's MPC members when they meet next month.
"With three members voting to hike at the last meeting, rising prices could be the catalyst that nudges a few more of the nine to change position. Markets are currently pricing in a 30% chance of a quarter point jump in September but that could easily increase, especially if the jobs market shows signs of picking up.
"Over on Wall Street investors have happily jumped back on the AI train today, though nerves about the situation in the Middle East have kept gains subdued. With a number of big box retailers due to update markets on the health of the US consumer later this week, there will be more than enough to keep investors on their toes."
Investors were mulling the latest data from property portal Rightmove, which downgraded its price growth forecast for this year as it reported a drop in August property prices.
Prices fell 1% on the year following a 0.4% decline in July. This marked the largest annual price fall since December 2023. On the month, prices were down 2% in August following a 1% fall a year earlier. This marked the largest August price fall since 2018.
The average price of a home stood at £364,999, versus £372,359 last month.
The figures also revealed an increasingly divided regional picture for property price growth, with the year-on-year difference between the northern and southern regions of England particularly stark. Prices in the north of England are up by 1.5% versus a year ago, while prices in the south of England are down by 1.8%, with the largest decline seen in London, where prices fell 3.1% annually.
Rightmove said the capital is seeing the largest choice of homes since 2010, leading to "fierce" competition among sellers to tempt buyers in the costliest part of the country.
Rightmove downgraded its national average 2026 price growth forecast to between flat and a 2% decline, having previously expected a 2% increase.
Colleen Babcock, property expert at Rightmove, said: "This month's larger-than-usual August price drop is a sign that many sellers are recognising the reality of the market and pricing much more competitively from day one. Buyers have the widest choice of homes for sale at this time of year in more than a decade, so standing out on price for the right reasons is hugely important.
"While no seller likes to come to market lower than they might have hoped, Rightmove analysis shows that those who price realistically are statistically proven to be giving themselves the strongest chance of finding a buyer and successfully completing a move. One tactic some sellers are using when considering lower offers on their home, is to also make a lower offer themselves on their onwards purchase, to see if they can make up the difference."
In equity markets, miners rose in tandem with metals prices, with Fresnillo, Endeavour, Anglo American, Rio Tinto and Glencore all up.
Elsewhere, Telecom Plus - which trades as Utility Warehouse - gained as it said it was confident of meeting its guidance for FY27 and of delivering on its long-term goal of £175m of adjusted pre-tax profit by FY31 following an "encouraging" start to the year.
CMC Markets advanced as RBC Capital Markets hiked its price target to 760p from 460p.
Drugmaker AstraZeneca ticked up as it discontinued a Phase III study for a cancer drug, while reporting strong survival rates from another.
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