use actualizar para seleccionar por unirse
UPDATE (select NON_CONFORM_ALLOCTABLE
from FGMULTI
JOIN arinvt ar
ON fgmulti.arinvt_id = ar.id
WHERE IN_Date = CurrentDate
AND ar.Class LIKE 'CP%'
OR ar.Class LIKE 'FG%'
OR ar.Class LIKE 'IN%'
OR ar.Class LIKE 'LA%'
OR ar.Class LIKE 'PK%') t
SET t.NON_CONFORM_ALLOCATABLE = 'Y'