FTSE 100 slips into the pink after AstraZeneca shares droop
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ondon’s FTSE 100 didn’t get off the bottom on Monday after one other disappointing set of producing information and a drag from its most useful inventory.
The combined session noticed the blue-chip index briefly soar to a one-week excessive earlier than falling again down and slipping into the pink.
It closed simply 4.27 factors decrease, or 0.06%, at 7,527.26.
It got here as pharmaceutical large AstraZeneca, the FTSE’s greatest market cap, slumped by practically 8% after it printed the primary outcomes of its part 3 trial of a brand new lung most cancers drug, hoped to halt the development of a affected person’s most cancers for longer than the drug presently used for chemotherapy.
Michael Hewson, an analyst for CMC Markets UK, mentioned: “The FTSE 100 managed to push up to one-week highs before slipping back, with AstraZeneca acting as the main drag on the index on disappointment over the results of a new drug/medicine used in the treatment of lung cancer.
“The outcome of the trial was a positive one, however analysts have suggested that a lack of clarity over survival improvement rates is behind today’s share price weakness.
“This comes across as a bit of an overreaction given that the data is still being analysed, and it’s one drug of many, nonetheless today’s weakness is acting as a more than 50-point drag on the index.”
The week additionally began with recent information displaying the UK’s manufacturing sector dropped to a six-month low in June, as a result of a scarcity of demand for work each at house and overseas.
Elsewhere in Europe, France’s Cac slipped 0.18% on Monday, and Germany’s Dax was down 0.41%.
Across the pond, US markets acquired off to a weak begin with a shorter buying and selling session forward of the Independence Day vacation on Tuesday. The S&P 500 was up 0.05% and the Dow Jones up 0.12% when European markets closed.
The pound was flat towards the US greenback at 1.2693, and edged up by 0.1% towards the euro to 1.1623.
In firm news, shares in Barclays lifted larger following reviews it was the newest financial institution to have a look at chopping ties with scandal-hit Odey Asset Management.
Barclays reportedly instructed the City watchdog it needs to finish its relationship with the hedge fund following sexual misconduct allegations towards its founder, which he denies. Shares in Barclays moved up by 1.5%.
Shares in retailer Ocado Group jumped larger following the announcement that it has employed former Amazon director Gregor Ulitzka as the brand new European president for its options enterprise, which develops robotic expertise for warehouses. Its share value was up by 5.95%.
The greatest risers on the FTSE 100 have been Ocado Group, up 33.8p to 601.8p, Anglo American, up 96.5p to 2,329.5p, Glencore, up 14.45p to 458.95p, BP, up 12.45p to 470.8p, and Fresnillo, up 15.2p to 625.4p.
The greatest fallers on the FTSE 100 have been AstraZeneca, down 902p to 10,374p, Smith & Nephew, down 73p to 1,195p, Halma, down 50p to 2,227p, Melrose Industries, down 11p to 495.2p, and B&M European Value Retail, down 9.8p to 547.2p.