Economic news

FTSE 100 Slips after Inflation Report; Smith+Nephew Drops

  • British inflation rises to 2.9% in July from ​2.6% in June, ONS says
  • Smith+Nephew finance chief John Rogers to step down ‌at end-September for US role
  • Trainline falls after UK regulator probes pricing disclosure by booking firms

Aug 19 (Reuters) - London shares edged lower on Wednesday as investors assessed an in-line inflation report, while Smith+Nephew fell after ​announcing the departure of its finance chief.

The blue-chip FTSE 100 index fell 0.1% ​to 10,711.52 points by 0926 GMT, while the midcap FTSE 250 ⁠slipped 0.3% to 24,483.70 points.

  • British inflation rose to 2.9% in July, its highest level since ​March from a 15-month low of 2.6% in June, according to the Office for ​National Statistics, reflecting a jump in regulator Ofgem's household energy price cap.

  • The data, coming a day after a softer labour market report, raised market bets that the Bank of England will keep rates ​on hold in September to 82%, from about 75% a day earlier.

  • Smith+Nephew fell 3.38% ​after it said its finance chief John Rogers would step down at the end of September to ‌take ⁠up an external position in the U.S., ending his roughly two-and-a-half-year tenure with the medical products company — a departure that comes just weeks after it cut annual revenue growth forecast.

  • Oil prices climbed for a fourth straight day as investors weighed conflicting messages from ​Tehran and Washington on ​whether the Strait ⁠of Hormuz is open to ships. Oil majors Shell and BP rose 0.7% and 1.1%, respectively.

  • Global bond yields hovered near their highest ​for decades, as fears over swelling sovereign debt pushed borrowing costs ​higher and ⁠rattled stock markets worldwide on Tuesday.

  • Britain's competition regulator is investigating whether Trainline, Virgin Atlantic and RED Driving School were transparent in disclosing total pricing when customers made bookings. Trainline shares ⁠fell 15.4%.

  • Among ​mid-cap stocks, oil and gas producer Ithaca Energy ​gained 15.8% after raising 2026 dividend forecast.

  • IG Group dropped 2.7% after brokerage UBS cut target price to 1,700 pence ​from 2,200 pence.

Reporting by Anand Gopal and Medha Singh in Bengaluru; Editing by Shilpi Majumdar

Source: Reuters


To leave a comment you must or Join us


More news


Back to economic news list

By visiting our website and services, you agree to the conditions of use of cookies. Learn more
I agree