StanChart slides as FAB quashes takeover talks
UK economy narrowly avoids recession in Q4 2022
FTSE 100 down 0.5, FTSE 250 off 1.2

Feb 10 Reuters UK39;s FTSE 100 closed lower on Friday as worries of high interest rates overshadowed data showing the British economy narrowly avoided entering a recession in the fourth quarter, while a rise in energy shares limited declines.

The bluechip index shed 0.5, backing off from record highs hit on Thursday, and posted a weekly fall of 0.31.

Declines in the FTSE 100 were still smaller than those of European stocks, as the STOXX 600 index closed about 1 lower.

Even as upbeat earnings and higher commodity prices aided sentiment earlier in the week, worries persisted about the Federal Reserve39;s aggressive tightening cycle, and as officials from the Bank of England appeared split about the need for further rate hikes.

The FTSE 350 oil gas index jumped nearly 2.8 on higher crude prices, while riskier plays including travel and leisure stocks shed 3.3.

Data showed Britain39;s economy showed zero growth in the final three months of 2022, meaning it narrowly avoided entering a recession, in line with what most economists were anticipating.

The UK has escaped recession by the skin of its teeth, said Jeremy BatstoneCarr, European strategist at Raymond James Investment Services.

However, whether we are officially in recession will not make much difference to most people it will simply feel like a continuation of the present…