London close: Stocks weaken with no movement on Ukraine-Russia talks

0

the FTSE100 ended the session down 1.27% at 7,099.09, and the FTSE250 was 0.57% lower at 19,955.55.

The pound, meanwhile, was in mixed condition, last falling 0.55% against the dollar at $1.3108, while it strengthened 0.08% against the euro. to change hands at €1.1908.

“Some of the ground gained yesterday has been returned with most of the FTSE 100 trending lower,” said GI chief market analyst Chris Beauchamp.

“It looks like yesterday’s bounce might have been a bit of a one-time wonder, the product of short coverage and thinner liquidity.

“Nothing in the last 24 hours really suggests a major change in tone, and for now the bearish scenario continues to prevail, bolstered by lingering fears over inflation and the shift to hawkish central bank policy. “

Talks between the foreign ministers of Ukraine and Russia had previously failed to progress, with Dmytro Kuleba and his Russian counterpart Sergei Lavrov meeting in Turkey for the first high-level talks since Russia invaded its neighbor .

The focus was on the possibility of a 24-hour ceasefire to deliver aid to civilians, but Kuleba told reporters no progress had been made.

According to Reutershe said the most critical situation was the southern port of Mariupol, but Lavrov had been unable to engage in a humanitarian corridor.

“I made a simple proposal to Minister Lavrov: I can call my Ukrainian ministers, the authorities and the president now and give you 100% assurances about the security guarantees for the humanitarian corridors,” he said. .

“I asked him, ‘Can you do the same?’ and he didn’t answer.

AlJazeera quoted Kuleba as saying the talks had been “difficult” and added: “I want to repeat that Ukraine has not surrendered, is not surrendering and will not surrender.”

Meanwhile, Lavrov, in a separate press conference, said President Vladimir Putin would not refuse a meeting with his counterpart Volodymr Zelenskyy to discuss “specific” issues.

Goldman SachsMeanwhile, became the first major Wall Street bank to pull out of Russia on Thursday, saying it was ending its business in Russia, in accordance with applicable regulatory and licensing rules.

It came after Goldman disclosed $650m (£495.06m) credit exposure to Russia.

“Goldman Sachs is ending its operations in Russia in accordance with regulatory and licensing requirements,” the bank said in a statement quoted by Reuters.

Earlier, the European Central Bank surprised financial markets by announcing a faster reduction in its asset purchases, even as it described Russia’s invasion of Ukraine as a turning point for Europe.

In what appeared to be a move towards greater concern about the outlook for inflation, the ECB pledged “to do everything in its power to fulfill the monetary authority’s price stability mandate. and in order to preserve financial stability”.

Purchases under its asset purchase program would now slow to 30 billion euros in May and 20 billion euros in June from 40 billion euros in April.

A halt to the program from the third quarter would depend on the medium-term inflation outlook, the ECB said.

Purchases were previously set to operate at a pace of 40 billion euros in the three months to June, a clip of 30 billion euros in the third quarter and 20 billion euros per quarter “as long as necessary”. afterwards.

As expected, all major interest rates remained unchanged, with those on the main refinancing operations, the marginal lending facility and the deposit facility remaining at 0.0%, 0.25%, -0, respectively. 50%.

“Slightly more hawkish than expected – although buying even more bonds, further expanding the balance sheet and further fueling the fire of inflation until June at the earliest can be seen as” warmonger “in any way is kind of ridiculous,” Neil Wilson joked to Markets.com.

“But that’s where we are right now – trying to wean the junk food addict off methadone.”

Across the pond, the cost of living in the United States rose as expected last month amid soaring energy prices.

According to the Labor Department, the consumer price index jumped at a seasonally adjusted monthly rate of 0.8%, pushing the annual rate of increase by four tenths of a percentage point to 7.9%.

Core CPI, which excludes food and energy prices, rose 0.5% on the month and 6.4% year on year.

At home, Chancellor Rishi Sunak would have the choice between increasing spending or allowing a massive fall in living standards, as inflation, runaway energy prices and the war in Ukraine hit households.

the Institute for Tax Studies said mitigating the impact on wages since Sunak’s last budget plan in October would cost £10billion.

A further £12billion would be needed to restore the level of support for households facing rising household energy bills announced by Sunak last month.

The finance minister had hoped to cut government borrowing to £83billion in the 2022-23 financial year – less than half of borrowing in the past 12 months hit by the Covid pandemic.

In equity markets, Anglo-Russian precious metals miner Polymetal International ended a choppy session down 2.86%.

Shares in the Russian steelmaker Evrazmeanwhile, were down 12.59 per cent, having been suspended earlier after Chelsea FC owner Roman Abramovich – who also has a majority stake in the company – was hit with UK sanctions.

Elsewhere, Will plunged 11.87% and Head fell 7.13%, reversing earlier gains.

Khaki was down 4.07%, HSBC lost 2.76% and Micro focus was 6.55% lower as they traded without dividend rights.

On the rise, the engineering group Spirax Sarco was ahead 4.42% after predicting strong growth in 2022, as it announced a sharp increase in its annual profit and increased its dividend.

Hill & Smith added 9.12% and Spiritual Communications increased by 8.7% after the results.

In broker note action, Merging companies was boosted by 5.11% by an upgrade to “buy” at Jefferieswhile Capital and counties was 3.99% higher after upgrading to “overweight” at Barclays.

market movers

FTSE 100 (UKX) 7,099.09 -1.27%
FTSE 250 (MCX) 19,955.55 -0.57%
techMARK (TASX) 4,152.02 -0.48%

FTSE 100 – Risers

Glencore (GLEN) 498.00p 5.93%
Antofagasta (ANTO) 1,568.00p 4.67%
Spirax-Sarco Engineering (SPX) 11,825.00p 4.42%
Fresnillo (FRES) 766.20p 2.21%
Anglo-American (AAL) 3,818.50p 1.73%
Admiral Group (ADM) 2,481.00p 1.72%
BAE systems (BA.) 734.20p 1.61%
Airtel Africa (AAF) 139.80p 1.60%
British American Tobacco (BATS) 3,100.00p 1.22%
AstraZeneca (AZN) 9,219.00p 1.07%

FTSE 100 – Slaughterhouses

Evraz (EVR) 80.89p -12.59%
Khaki (PSN) 2,120.00p -9.21%
Melrose Industries (MRO) 113.70p -8.34%
CRH (CDI) (CRH) 3,023.00p -5.85%
Rio Tinto (RIO) 5,499.00p -5.47%
B&M European Value Retail SA (DI) (BME) 545.00p -4.75%
Burberry Group (BRBY) 1,570.00p -4.72%
Diageo (DGE) 3,375.00p -4.71%
Kingfisher (KGF) 271.10p -4.04%
Move right (RMV) 622.40p -3.94%

FTSE 250 – Risers

Baltic Classifieds Group (BCG) 125.00p 12.11%
Hill & Smith Holdings (HILS) 1,412.00p 9.12%
Spirent Communications (SPT) 246.20p 8.70%
Centamine (DI) (CEY) 105.90p 6.26%
Molten Ventures (GROWTH) 719.00p 5.11%
Balfour Beatty (BBY) 243.40p 5.00%
Ferrexpo (FXPO) 147.30p 4.47%
PureTech Health (PRTC) 188.00p 4.44%
Premier Foods (PFD) 105.40p 4.15%
Capital and County Properties (CAPC) 161.50p 3.99%

FTSE 250 – Slaughterhouses

Petropavlovsk (POG) 2.67p -14.06%
Group of Will (FAN) 408.50p -11.87%
Dark Trace (DARK) 454.80p -7.15%
Inhabitant (CPI) 8:31 p.m. -7.13%
Wizz Air Holdings (WIZZ) 2,714.00p -6.74%
Micro Focus International (MCRO) 345.20p -6.55%
Auction Technology Group (ATG) 861.00p -5.90%
Aston Martin Lagonda Global Holdings (AML) 815.00p -5.63%
Dr. Martens (DOCS) 241.20p -5.34%
Oxford Biomedica (OXB) 649.00p -4.84%

Share.

About Author

Comments are closed.