FTSE 100 live: Markets steady despite uncertainty over Evergrande
week that started with investors in a spin over the Chinese property market is ending on a flat note, amid uncertainty about whether the debt-laden developer Evergrande has met its latest interest payment.
There was no announcement from the company after yesterday’s deadline passed.
Markets took the latest developments in their stride, partly in view of there being a grace period of at least 30 days before any default can be declared.
The FTSE 100 index has opened slightly lower, despite a positive late-stage drugs trial boosting shares in AstraZeneca.
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FTSE 100 lags despite Astra surge
The robust recovery of the FTSE 100 since Monday’s sell-off is showing more signs of running out of steam after the top flight fell 17.65 points to 7,060.70.
Transatlantic retailer JD Sports Fashion led the fallers board with a 3% decline, while Asia-focused stocks were back under pressure as Prudential and Standard Chartered dipped more than 1%.
AstraZeneca propped up the top flight after reporting positive results in its late-stage trial for blockbuster drug Lynparza in the treatment of advanced prostate cancer. Shares rallied 3%, while there was a further gain for a resurgent Rolls-Royce, up 1.8p to 128.7p.
The FTSE 250 index fell 89.61 points to 23,740.57, despite a surge of 3% for outsourcer Mitie after it upped its profit guidance to around £150 million on the back of a string of Covid-linked contracts and an uptick in cleaning work from the return to office.
Property giant Landsec announces two retail park sales
Property developer and landlord Land Securities has agreed to sell two retail parks, in a move that will help contribute funds to its focus on London projects.
The company said the disposals of sites in Cumbria and Blackpool total £54.3 million, marking a 15% premium to their March book value.
Read the full story HERE.
Consumer confidence in decline
Households are increasingly anxious about a winter cost of living crisis after the latest Gfk consumer confidence index showed a sharp fall in September.
The barometer decreased five points to -13 in September, although that’s still better than the -25 seen for the same month last year.
The survey included a big deterioration in the view of the general economic situation over the next 12 months, as well as in the prospects for people’s own personal financial situation.
The survey comes against a backdrop of rising prices for fuel and food, empty shelves due to supply chain disruption and the end of the furlough scheme.
Joe Staton, client strategy director at GfK, said: “All measures have declined this month and consumers are clearly worrying about their personal financial situation and the wider economic prospects for the year ahead.”
The index also…
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