UK Domestic Stocks Set to Halt Longest Losing Streak Since Covid
- Rate hikes, mortgage payments are weighing on consumers
- FTSE 100 could benefit from a recovery in value sectors
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Global stocks are trading in a bull market, but UK domestic shares just posted the longest losing streak since the Covid-19 pandemic lows, weighed down by stagflation fears as the Bank of England presses on with rate increases. They bounced back slightly on Tuesday.
The FTSE 250 Index of UK midcaps dropped for 10 days in a row through Monday. Along with the exporter-heavy FTSE 100 benchmark, the index has underperformed major European and developed-market gauges this year and is down about 4% compared with a gain of 14% for the Euro Stoxx 50.