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Stocks in London fell on Thursday and the pound dipped while strong US data boosted the dollar, as talk of a political challenge to Sir Keir Starmer saw UK bond yields climb.

The FTSE 100 index closed down 36.45 points, 0.4%, at 9,213.98, while the FTSE 250 ended 102.75 points lower, 0.5%, at 21,587.77, and the AIM All-Share ended down 8.80 points, 1.1%, at 773.62.

Figures showed the US economy grew at a stronger pace than expected in the second quarter of the year, according to the latest reading from the Bureau of Economic Analysis, amid a rise in consumer spending.

US gross domestic product rose 3.8% quarter-on-quarter on an annualised basis in the three months to

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