FTSE 100 dips as downbeat Flutter earnings offset strong commodities

UK's FTSE 100 inched down on Tuesday, as downbeat corporate earnings by Flutter offset gains in AstraZeneca and commodity-linked shares while investors maintained a cautious stance amid developments surrounding the Russia-Ukraine crisis. The blue-chip FTSE 100 edged 0.1% down in early trade, and the domestically focussed mid-cap index fell 0.4%.

UK's FTSE 100 inched down on Tuesday, as downbeat corporate earnings by Flutter offset gains in AstraZeneca and commodity-linked shares while investors maintained a cautious stance amid developments surrounding the Russia-Ukraine crisis.

The blue-chip FTSE 100 edged 0.1% down in early trade, and the domestically focussed mid-cap index fell 0.4%. Losses in consumer stocks were led by Flutter, which dropped 11.5% after the gambling firm posted an 11% fall in 2021 earnings.

Keeping traders on toes, high-level talks between Russia and Ukraine ended with no resolution other than to continue talking, although Asian markets stabilised on signs of no immediate escalation of Western sanctions on Moscow. The London Stock Exchange said it would stop trading in two global depository receipts for Russia's VTB Bank after Britain's financial regulator suspended them in response to sanctions.

Shell dipped 0.1% after the company said it would exit all its Russian operations, including a major liquefied natural gas plant, becoming the latest oil major to quit the oil-rich country following Moscow's invasion of Ukraine. "The move to exit from these Russian joint ventures hasn't come as a total surprise, given BP's decision in recent days and the fact Shell has comparatively smaller exposure to Russia," said Sophie Lund-Yates, equity analyst at Hargreaves Lansdown.

"This is a fast-moving situation and investors should be mindful of potential share price volatility in the short to medium term." Shares of BP dropped 0.26% after the British company abandoned its stake in Russian oil giant Rosneft on Monday.

News publisher Reach slumped 22.6% after warning that inflationary risks, particularly in newsprint, would result in a modest reduction in operating profit this year. Bucking the sombre mood, shares of AstraZeneca Plc rose 1.3% after the British drugmaker agreed with Swiss biotechnology firm Neurimmune to develop an antibody-based therapy for a rare, underdiagnosed condition that can lead to heart failure in a deal valued up to $760 million.

The commodity-heavy benchmark index was lifted by base metals miners, up nearly 2%, tracking higher aluminium prices in London.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)