Bleak company reports drag London stocks lower; LSEG weighs
London stocks closed lower on Wednesday, with the London Stock Exchange Group falling after an investor consortium sold shares in the market operator and British Land Company and JD Sports Fashion providing downbeat corporate updates.
London stocks closed lower on Wednesday, with the London Stock Exchange Group falling after an investor consortium sold shares in the market operator and British Land Company and JD Sports Fashion providing downbeat corporate updates. The blue-chip FTSE 100 fell 0.4%, down for the second consecutive day.
The London Stock Exchange Group slipped 2.7% after U.S. buyout firm Blackstone and Thomson Reuters Corp sold shares worth around 2.7 billion pounds ($3.41 billion) of the financial market operator, according to Barclays Bank. JD Sports Fashion fell 4.3% after the sportswear retailer reported lower annual profit.
British Land Co skid 5.7% after the real-estate firm reported a drop in its property valuations as high interest rates weighed on the sector. The FTSE 250 midcap index slipped 0.3% as Watches of Switzerland Group slumped 5.8% on a marginal sales decline in the first quarter.
A day after data showed UK unemployment rising, Bank of England Governor Andrew Bailey said there were some signs of a cooling of inflation pressure in Britain's labour market. "Following yesterday's numbers, sentiment has risen that the BoE is closer to ending its rate hiking cycle, which is a boost to risk appetite and a further plus for riskier stocks as opposed to the traditional defensive ones," said Stuart Cole, chief macro economist at Equiti Capital.
Defensive stocks such as healthcare major AstraZeneca and consumer staples major Diageo fell 1.2% and 1.5%, respectively, weighing on the FTSE 100. UK-listed equities have been range-bound since late-April as multiple factors rattled investors, including domestic inflation, a weak outlook for commodity-linked stocks and the risk of a U.S. debt default.
Bucking the sombre mood, Melrose Industries gained 4.4% after the jet parts supplier lifted its 2025 adjusted operating margin forecast.
(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)