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Franklin FTSE United Kingdom ETF

FLGB tracks a market cap-weighted index of large- and mid-cap companies from the United Kingdom.

iShares MSCI United Kingdom ETF

iShares MSCI United Kingdom Small Cap ETF

First Trust United Kingdom AlphaDEX Fund

In 2022, the FTSE 100 beat just about every other index on the planet simply by not losing money, 2023 was even better thanks to a strong Santa rally. The FTSE 100 grows by 12.8% in 2024, leaving it at 8,725 by the end of the year.

FTSE 100 Valuation And Forecast For 2024

After an unexpected pick-up in UK inflation, the market may be getting ahead of itself by pricing a May rate cut. Services inflation is likely to remain stubborn in the near term, while much depends on the size of any fiscal stimulus at the March budget.

U.K. Inflation Unexpectedly Picks Up Amid Stubborn Services Price Rises

Invesco CurrencyShares British Pound Sterling Trust

UK economy shows resilience, suggesting GDP stagnated over Q4 2021. Flash PMI data indicates increased output, but manufacturing sector continues to decline.

Flash PMI Points To U.K. Economy Ending 2023 On A More Positive Note

Markets are pricing three rate cuts in 2024 and we doubt the Bank will be too happy about that. Expect policymakers to reiterate that rates need to stay restrictive for some time.

Bank of England To Push Back Against Rising Tide Of Rate Cut Expectations

With one month left in the year, it's time for investors to consider buying stocks from the United Kingdom (U.K.). Recently, Vanguard highlighted that it expects U.S. stocks to generate annualized returns of 5.2% over the next decade, 280 basis points less than non-U.S. developed markets.

U.K. Market Opportunities: 3 Overlooked Funds With Big Potential

The UK chancellor can look forward to a little extra wiggle room when it comes to meeting his fiscal goals, as the impact of higher inflation on tax revenues offsets the effect of higher debt interest spending. The margin for error is still tight and doesn't offer much space to make major policy changes this month.

Limited Room For Tax Changes As U.K. Chancellor Gets Set To Unveil Autumn Statement

Services inflation has undershot the Bank of England's forecast for October, and that all but rules out any more tightening this year. We expect services inflation to fall back to the 3.5-4% area next summer and that would be a catalyst for rate cuts to begin.

Good News For The Bank of England As Services Inflation Falls Further Than Expected

Higher savings rates have so far helped offset only modest increases in average mortgage rates. That's set to change through 2024, and this means higher interest rates will act as a growing drag on UK activity.

U.K. Headed For Stagnation As Rate Hikes Start To Bite

iShares Currency Hedged MSCI United Kingdom ETF

The Bank of England has kept rates on hold for a second consecutive meeting, and barring some major unpleasant surprises, it's fair to say the tightening cycle is over. Beneath the surface, we detect hints that the Bank is uncomfortable with markets beginning to price rate cuts for next year.

Bank Of England Keeps Policy Steady But Pushes Back Against Rate Cut Expectations

The UK economy continued to skirt with recession in October, as the increased cost of living, higher interest rates and falling exports were widely blamed on a third month of lower output. UK business activity declined for a third month running in October, suggesting the economic malaise seen at the end of the third quarter has spilled over into the fourth quarter.

Flash PMI Points To U.K. Economic Downturn Extending Into Fourth Quarter

Investors have significantly reappraised the Bank of England outlook over recent weeks, and we think rate hikes have now finished. Rate cuts are likely to be a story for next summer.

Markets Are Right To Rethink The Bank Of England As Rates Reach A Peak

While the Bank of England (BoE) kept the “sufficiently restrictive for sufficiently long” language in its latest statement, we believe the end of the U.K. interest rate hiking cycle is here. Inflation came in well below market and BoE expectations, with declines both in core goods and services.

U.K. Inflation Looks To Have Finally Broken

The disappointing PMI survey results for September mean a recession is looking increasingly likely in the UK. UK business activity slumped in September, with output across manufacturing and services contracting for a second month running.

Flash PMI Signals Deepening U.K. Economic Downturn In September

BoE shocks markets by holding off on a rate increase. We believe it is likely we have seen the last rate hike of the cycle.

Bank Of England: A Surprise End To U.K. Rate Hikes?

The Bank of England has kept rates on hold, but today's vote was close. What's very clear, though, is that the Bank is leaving all options on the table for November.

The Bank Of England's Tightening Cycle May Well Be Over

A surprise fall in the UK inflation levels raised the probability that the BOE may pause interest rates. Despite the falling inflation levels, the U.K.?

Falling UK Inflation Puts ETFs in Focus

Faced with a poor domestic economic outlook and a perceived valuation discount to US equities, the picture for British stocks doesn't look so rosy. Despite holding UK-listed stocks, the Franklin FTSE United Kingdom ETF actually has fairly limited exposure to the UK. Most of its holdings by weight are international blue chips. UK-listed stocks do indeed look quite cheap. Current P/E ratios appear modest, while averaging things across the business cycle still leaves the valuation at a discount to the historical average.

FLGB: British Blue Chips Look A Fair Deal

We're expecting one final rate hike from the Bank of England this week with wage growth and inflation both proving stubborn. Recent comments show the Bank is laying the ground for a pause, and we aren't ruling that out on Thursday.

Why The Bank Of England Might Not Raise Rates On Thursday

Private-sector wage growth in the UK barely increased in level terms between June and July, and alternative data from payrolls showed a second consecutive fall in median pay. We still expect a rate hike next week, but with unemployment rising too, this latest data doesn't scream a need to lift rates much further.

The U.K. Jobs Report Is More Dovish Than It Looks

High inflation and wage growth should seal the deal on a September rate hike from the Bank of England. Emerging economic weakness suggests the top of the tightening cycle is near, and our base case is a pause in November.

Cracks In The U.K. Economy Will Give The Bank Of England Pause For Thought

Early PMI survey data for August signal a renewed contraction of the UK economy, as an increasingly severe manufacturing downturn is accompanied by a further faltering of the service sector's spring revival. Lower levels of activity were recorded in both the manufacturing and service sectors during August.

U.K. Flash PMI Data Signal Renewed Economic Downturn In August, Selling Price Inflation Cools

P Morgan has revised its growth forecasts for the UK upwards. Consider exploring UK ETFs as a means to seize the potential for growth.

UK ETFs Shine Amid Surprise Economic Growth

A repeat 25bp hike is largely priced for September, but markets are also factoring in an almost 20% chance that the Bank of England keeps rates on hold. Investors expect Bank Rate to be just 40 basis points lower in two years' time, compared to almost 200bp at the Fed and roughly 75bp at the ECB.

To Hike Or To Hold? 3 Scenarios For The Bank Of England's Next Steps

Better news on inflation has enabled the Bank of England to pivot back to a 25-basis point rate hike this month. The Bank is keeping all its options open on future rate hikes, although another rise in September seems highly likely.

Bank Of England Opts For Smaller Rate Hike After Better Inflation News

This year's rally in UK equities has begun to show signs of slowing in recent months. A combination of high inflation and lower growth domestically are weighing on the outlook, along with an ongoing external slowdown. The Franklin FTSE United Kingdom ETF isn't cheap relative to earnings and could come under pressure ahead of more rate hikes.

News for Franklin FTSE United Kingdom ETF ETF (FLGB)