UK's FTSE 100 slips on Middle East tensions, miners drag
EWU•Individual stock moves
- Among individual stocks, Rio Tinto RIO.L rose 1.1% after the mining major reported better-than-expected second-quarter iron ore sales, supported by strong operational performance.
- Shares of B&M BMEB.L fell 6.9% after the discount retailer reported a 2.3% decline in first-quarter like-for-like sales in its core UK market, as a slow start to the gardening season weighed on trading, though growth in France helped lift group revenue.
- Barratt Redrow BTRW.L rose 3.3% after the housebuilder said it would return £400 million ($536 million) to shareholders through share buybacks instead of dividends.
Sector moves and company highlights
- Precious metals miners .FTNMX551030 declined 2.3%, making them the worst-performing sector, with Fresnillo FRES.L and Endeavour Mining EDV.L falling 2.8% and 2%, respectively, among the top losers on the benchmark index.
- On the flip side, energy stocks .FTNMX601010 rose 0.3% as oil prices climbed around 2% after U.S. President Donald Trump reimposed a naval blockade on all Iranian ports and Iran's Islamic Revolutionary Guard Corps threatened to close "all other export corridors that benefit the U.S. and its allies". O/R
- The personal goods index .FTNMX402040 rose 2.4% to lead sectoral gains, buoyed by a 4.8% jump in Watches of Switzerland Group WOSG.L after brokerages Barclays and UBS lifted target price on the stock.
- The OECD said Britain must maintain fiscal discipline, tackle rising pension costs and address high energy prices to boost economic growth, underscoring the challenges facing Andy Burnham, who is set to become prime minister next week.
- On Tuesday, Britain's FTSE 100 closed higher as bank stocks led gains after strong earnings from major U.S. lenders kicked off the reporting season, while a softer-than-expected U.S. inflation reading fuelled expectations of a delay in interest rate cuts.
