UK Retail Sales Plunge, Economy at Risk of Recession, Boosting FTSE 100

London stocks extended their rebound on Friday despite bleak retail sales data, according to a report by Reuters. The FTSE 100 rose by 0.7% as the sterling faced pressure due to weaker-than-expected retail sales figures. The data revealed that British retailers experienced the largest drop in sales in nearly three years during December, raising concerns about a potential recession in the fourth quarter of 2023. This news has further influenced expectations surrounding the Bank of England’s decision on interest rate cuts. Even with this positive stock market performance, the FTSE 100 is still on track for a weekly loss. Companies such as Shell (LON:RDSa) and AstraZeneca (NASDAQ:AZN), which generate a significant portion of their revenue overseas, benefited from the weaker sterling. Additionally, Deliveroo saw a slight increase of 0.9% after announcing that its projected earnings for 2023 would exceed the original forecasted range of 60-80 million pounds. Wincanton experienced a significant rally of 47.1% after French shipping group CMA CGM’s unit, CEVA Logistics, stated that it would acquire the British logistics firm in a nearly 600 million pounds all-cash deal. The article aims to inform readers of the current state of the London stock market, providing essential details about retail sales data, currency movements, and significant company developments.