Economy worries drag FTSE 100 lower, British Airways owner slides

UK's blue-chip index slipped on Friday, with British Airways owner falling the most after disappointing earnings, while worries about the economy weighed on the mood after a recession warning from the Bank of England.


Reuters | London | Updated: 06-05-2022 13:09 IST | Created: 06-05-2022 13:08 IST
Economy worries drag FTSE 100 lower, British Airways owner slides
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UK's blue-chip index slipped on Friday, with British Airways' owner falling the most after disappointing earnings, while worries about the economy weighed on the mood after a recession warning from the Bank of England. The FTSE 100 slipped 0.5% by 0727 GMT. The midcap FTSE 250 index fell 0.8%, on course for its biggest weekly decline in two months.

Sterling extended losses on Friday to fall below $1.23 after the central bank warned on Thursday that Britain risks a double-whammy of a recession and inflation above 10% as it raised interest rates to their highest since 2009. British Airways operator IAG fell 6.8% as it reported a bigger-than-expected quarterly operating loss due to the impact of the Omicron variant and the cost of ramping up capacity.

Holiday Inn-owner IHG slipped 0.9% despite signaling a sharp rebound in the hospitality sector. Overall, UK's travel & leisure index fell 1.6%.

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

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