FTSE 100 today: Stocks edge lower as traders eye U.S. jobs data

On Friday, British stocks slipped as investors grew wary ahead of the U.S. non-farm payrolls report, which is seen as crucial for determining whether the Federal Reserve raises rates during its meeting on September 16. The FTSE 100 declined by 0.04%, while Germany’s DAX increased by 0.10%, and France’s CAC 40 rose by 0.04%. The British pound strengthened against the dollar, with GBP/USD up by 0.13% to 1.3542.

South Korea's presidential office indicated they were considering contributions to U.S.-led security efforts in the Strait of Hormuz, although no decisions had been made. Vice President JD Vance dismissed claims that a U.S. strike had targeted a wedding party in Iran as inaccurate, stating he did not view the conflict as a war. Treasury Secretary Scott Bessent announced that the European Union had formally joined the U.S.-led Operation Economic Outcast sanctions campaign against Iran, aimed at severing all economic ties with Tehran.

Iranian officials reported that a recent U.S. strike killed at least 18 people and wounded 142. According to the Wall Street Journal, President Donald Trump privately contemplated declaring the war over, even while the Pentagon extended troop deployments in the region. Analysts at ING suggested that dovish remarks from Federal Reserve Governor Waller had driven yields lower on Thursday, but a robust Institute for Supply Management services print had reversed that trend.

The prevailing view among analysts is that Friday's payrolls data, expected to come in at +55,000, could delay a rate hike if it falls below 25,000 and if core CPI remains steady at 4.1%.