FTSE 100 and oil finish flat as ex-dividend trades weigh and the price cap proposal eases supply concerns.

The amount of a proposed G7 restriction on the price of Russian oil sparked questions about how much it would constrain supply, causing Brent oil to go lower on Thursday as West Texas Intermediate (WTI) crude remained stable. Brent oil is now approaching two-month lows.

Widening COVID-19 limitations in China and a larger-than-anticipated increase in gasoline stocks in the United States both put downward pressure on oil prices.

Due to the American Thanksgiving break, trading volumes were low.

For Wednesday, both benchmarks fell more than 3% in response to reports that the proposed price restriction on Russian oil would be higher than where the market is at the moment.

With fresh discussions potentially taking place on Friday if attitudes converge, European Union nations are still divided over the appropriate cap for Russian oil prices that would prevent Moscow from funding its conflict in Ukraine without disrupting the world oil supply.

A higher price cap would entice Russia to keep selling its oil, lowering the likelihood of a global oil market supply crunch.

London's blue-chip FTSE 100 index declined on Thursday as losses in ex-dividend shares offset gains in miners, and bootmaker Dr. Martens fell to the bottom of the midcap index after issuing a warning about a significant blow to profit margins.

Dave Ramsden, the deputy governor of the Bank of England, supported further interest rate increases in today’s session. But stated that he would consider decreasing rates if the economy and inflation pressures did not develop as he had anticipated.

Since a failed mini-budget on October 13 shook investor confidence, the FTSE 100 has increased by more than 11%. Investors are expecting that the new government's initiatives would help restore confidence even as Britain faces what is anticipated to be a prolonged recession.

(Sources: investing.com, reuters.com)