Britain's top equity index retreated from five-month highs on Wednesday as oil stocks slipped, while investment company Hargreaves Lansdown fell after its interim profits declined. The FTSE 100 index closed down by 0.2 percent at 6,860.02 points, after reaching its highest level since September on Tuesday.
-- Standard Chartered helped by Chinese bank move
Hargreaves fell 7.6 percent, the worst-performing FTSE 100 stock in percentage terms. Its first-half pre-tax profits fell to 101.9 million pounds ($154.8 million) from 104.1 million a year earlier. "The problem is the competition aspect - fees are going to come under pressure from outside, or will go down anyway as clients demand cheaper transactions," said IG analyst Chris Beauchamp. Oil stocks Tullow Oil and Royal Dutch Shell also fell, tracking a retreat in the price of crude. Oil fell on Wednesday as renewed concerns over global demand and ample stockpiles halted a brief recovery, after prices fell to six-year lows last month.
The decline in oil prices muted the effect of a decision by China's central bank to cut the amount of cash that banks must hold as reserves. China's move did lift the shares of Asian-focused bank Standard Chartered, which outperformed to rise 0.5 percent. Also outperforming was media group Sky, whose advance boosted its rival, ITV, as well. Sky advanced 1.3 percent after posting a 16 percent rise in first-half adjusted operating profit. ITV rose 3.6 percent. The FTSE climbed to 6,904.86 points in early September, its highest since early 2000, then lost ground in October. The index is up by around 4.5 percent so far in 2015.
Comments
Comments are closed.