FTSE Falls with Europe on broad concerns
With very little happening in the UK market today in the form of news from companies and industry effecting sources, investors have been left to trade on their views of the current economic climate and their views on the market in the near future.
Naturally with so much concern currently lingering around the US, stocks declined throughout the sessions. ARM Holdings PLC continued their recent declines with another slip of 7 percent, which resulted in them filling the dreaded position of the days biggest loser — something they have become accustom to of late. Food retailer Tesco PLC saw a decline of 1.9 percent as they lead the retail sector in declines. The only real saving grace for the London based benchmark was the miners, who made gains as Gold prices increased on the back of falling stocks across the globe.
ARM’s decline came on the back of their US shares declining by 3.7 percent on Friday, with yesterday being the first chance that the UK markets had to react to that news. Tesco and other food retailers fell significantly. In addition to Tesco’s previously mentioned 1.9 percent decline, WM Morrison Supermarkets, Marks & Spencer Group PLC and J Sainsbury PLC all fell by 1.3 percent, 0.9 percent and 0.8 percent respectively.
EasyJet PLC fell by 3.55 percent on the back of a rise in crude oil prices, along with many other travel related companies such as Carnival PLC, which saw a fall of 3.65 percent. While analysts have put these declines down to the price of crude oil, many are also suggesting it could be a larger fall than usual due to the sector possibly being overpriced from the recent rally.
The FTSE was down by 57.97 points at the close of play in London to 6525.12, a decline of 0.88 percent. Elsewhere in Europe, the Stoxx 50 declined by 21.90 points, or 0.79 percent, to 2747.74. The German Dax also recorded losses, falling by 63.04 points to 8285.80, translating to a 0.76 percent retreat.