AIRLINK 62.48 Increased By ▲ 2.05 (3.39%)
BOP 5.36 Increased By ▲ 0.01 (0.19%)
CNERGY 4.58 Decreased By ▼ -0.02 (-0.43%)
DFML 15.50 Increased By ▲ 0.66 (4.45%)
DGKC 66.40 Increased By ▲ 1.60 (2.47%)
FCCL 17.59 Increased By ▲ 0.73 (4.33%)
FFBL 27.70 Increased By ▲ 2.95 (11.92%)
FFL 9.27 Increased By ▲ 0.21 (2.32%)
GGL 10.06 Increased By ▲ 0.10 (1%)
HBL 105.70 Increased By ▲ 1.49 (1.43%)
HUBC 122.30 Increased By ▲ 4.78 (4.07%)
HUMNL 6.60 Increased By ▲ 0.06 (0.92%)
KEL 4.50 Decreased By ▼ -0.05 (-1.1%)
KOSM 4.48 Decreased By ▼ -0.09 (-1.97%)
MLCF 36.20 Increased By ▲ 0.79 (2.23%)
OGDC 122.92 Increased By ▲ 0.53 (0.43%)
PAEL 23.00 Increased By ▲ 1.09 (4.97%)
PIAA 29.34 Increased By ▲ 2.05 (7.51%)
PIBTL 5.80 Decreased By ▼ -0.14 (-2.36%)
PPL 107.50 Increased By ▲ 0.13 (0.12%)
PRL 27.25 Increased By ▲ 0.74 (2.79%)
PTC 18.07 Increased By ▲ 1.97 (12.24%)
SEARL 53.00 Decreased By ▼ -0.63 (-1.17%)
SNGP 63.21 Increased By ▲ 2.01 (3.28%)
SSGC 10.80 Increased By ▲ 0.05 (0.47%)
TELE 9.20 Increased By ▲ 0.71 (8.36%)
TPLP 11.44 Increased By ▲ 0.86 (8.13%)
TRG 70.86 Increased By ▲ 0.95 (1.36%)
UNITY 23.62 Increased By ▲ 0.11 (0.47%)
WTL 1.28 No Change ▼ 0.00 (0%)
BR100 6,944 Increased By 65.8 (0.96%)
BR30 22,827 Increased By 258.6 (1.15%)
KSE100 67,142 Increased By 594.3 (0.89%)
KSE30 22,090 Increased By 175.1 (0.8%)
Markets

FTSE 100 slips as slowdown worries, inflation fears persist

  • AstraZeneca jumps on positive cancer drug trial results
  • Growth fears cause hefty drop in UK consumer confidence
  • Outsourcer Mitie Group gains on positive profit forecast
  • FTSE 100 down 0.4%, FTSE 250 off 0.9%
Published September 24, 2021

London's FTSE 100 ended lower on Friday as concerns about a slowdown in global economic growth outweighed gains in healthcare and energy stocks.

The blue-chip FTSE 100 index eased 0.4%, but snapped its three-week losing streak. Retailers, industrial miners and life insurers were the top losers.

"Miners were weak as investors started worrying about the potential fall-out should Evergrande go bust. Commodities demand could tumble if the Chinese property market experiences a crash," said Russ Mould, investment director at AJ Bell.

Limiting further losses were healthcare stocks led by AstraZeneca, which jumped 2.0% after trials of its prostate cancer drug Lynparza showed positive results.

Energy, pharma stocks drag FTSE 100 lower; dismal service activity data

The index has gained nearly 1.3% this week, recording its best week since mid-August, with the healthcare and energy stocks leading the rally.

However, growing worries over energy bills, food costs and tax hikes prompted a hefty drop in British consumer confidence this month as people became more downbeat about the economic outlook.

"Persistent and rising inflation would suggest that central banks have to act soon to get the situation under control which means interest rate hikes sooner rather than later," Mould added.

UK's benchmark bond yields jumped to their highest since March 2020, signalling rising inflation pressures.

The FTSE 100 has gained nearly 9.5% so far this year on higher energy prices and accommodative central bank policies.

However, it has significantly underperformed a 17% rise in its European peers as worries over slowing economic growth coupled with higher inflation pressures weighed on investor sentiment.

The domestically focussed mid-cap index fell 0.9%, and marked its third weekly losses.

British outsourcer Mitie Group rose 2.0% after it raised its fiscal 2022 profit forecast.

Land Securities fell 1.4% after saying it sold two retail parks for 54.3 million pounds ($74.51 million) as part of a plan to exit its non-core businesses.

Petrofac gained 24.8% after the oilfield services provider reached a plea agreement with UK's fraud prosecutor relating to the investigation into the company's past dealings in the Middle East.

Comments

Comments are closed.