London Stocks Fall Amid Energy Price Woes

London stocks ended lower on Tuesday as Bank of England Governor Andrew Bailey cautioned that global inflationary risks remain tilted to the upside amid elevated energy prices.

The FTSE 100 index dropped 10.47 points, or 0.1%, closing at 10,811.66, while the FTSE 250 fell 157.83 points, or 0.6%, to finish at 24,348.85.

Bailey indicated that the market curve, which is pricing in three Bank of England interest rate hikes over the next 12 months, looks fair given the current risk environment.

He warned that energy prices could climb further due to the ongoing US-Iran war and Russia-Ukraine conflict, with Brent crude rising to $98.00 a barrel at the London equities close.