London stocks fall on fears about Fed's policy path

(For a Reuters live blog on U.S., UK and European stock markets, click

or type LIVE/ in a news window)


Barclays gains on price target increase


Mondi drops on rating downgrade


FTSE 100 down 0.6%, FTSE 250 off 1.2%

(Updates to market close)

By Johann M Cherian and Shristi Achar A

Dec 6 (Reuters) - London's main stock indexes fell on Tuesday, tracking a weak session on Wall Street after strong U.S. data fuelled fears about aggressive rate hikes by the Federal Reserve.

The export-oriented FTSE 100 .FTSE fell 0.6%, marking its biggest percentage loss in over three weeks, while the domestically focused FTSE 250 .FTMC dropped 1.2%.

New York's benchmark S&P 500 .SPX tumbled over 1% after the chief executive of top U.S. bank JPMorgan & Chase JPM.N warned of a mild to more pronounced recession ahead, a day after strong U.S. services sector data fed into fears of a longer rate hiking cycle by the Fed.

"I think what's happening in the UK markets is more symptomatic of what's being seen everywhere else," said Stuart Cole, head macro economist at Equiti Capital.

"After the data we had from the U.S., the hopes that we were getting close to the pivot point of hikes have been dashed and now sentiment has taken a hit."

Precious and base metal miners .FTNMX551030 dropped 2.5% and 0.5% respectively, as metal prices broadly weakened.

The Bank of England

is widely expected to hike rates by 50 basis points

next week, even though Britain is heading into a long albeit shallow recession. Investors will also be watching inflation data next week for clues on the path of monetary policy tightening.

"The bigger picture here is not what the next CPI print says, because one data point can't tell us anything about a trend," said Vivek Paul, UK Chief Investment Strategist at BlackRock Investment Institute.

"The bigger picture is what the Bank of England is telling us, and they are going to continue taking us into restrictive territory."

Among single stocks, SSP Group SSPG.L rose 3.0% after the snack chain group said its average sales rose above pre-pandemic levels as more people returned to work and holiday demand picked up from pandemic lows.

Barclays BARC.L rose 1.6% as J.P Morgan raised the bank's price target to 220 pence from 180 pence.

Packaging company Mondi Plc MNDI.L dropped 4.7% to hit the bottom of the FTSE 100 as Credit Suisse downgraded the stock to "underperform".
Reporting by Johann M Cherian and Shristi Achar A in Bengaluru; Editing by Vinay Dwivedi, Rashmi Aich and Mark Heinrich

免責聲明: XM Group提供線上交易平台的登入和執行服務,允許個人查看和/或使用網站所提供的內容,但不進行任何更改或擴展其服務和訪問權限,並受以下條款與條例約束:(i)條款與條例;(ii)風險提示;(iii)完全免責聲明。網站內部所提供的所有資訊,僅限於一般資訊用途。請注意,我們所有的線上交易平台內容並不構成,也不被視為進入金融市場交易的邀約或邀請 。金融市場交易會對您的投資帶來重大風險。


本網站的所有XM和第三方所提供的内容,包括意見、新聞、研究、分析、價格其他資訊和第三方網站鏈接,皆爲‘按原狀’,並作爲一般市場評論所提供,而非投資建議。請理解和接受,所有被歸類為投資研究範圍的相關内容,並非爲了促進投資研究獨立性,而根據法律要求所編寫,而是被視爲符合營銷傳播相關法律與法規所編寫的内容。請確保您已詳讀並完全理解我們的非獨立投資研究提示和風險提示資訊,相關詳情請點擊 這裡查看。

我們運用 cookies 提供您最佳之網頁使用經驗。更改您的cookie 設定跟詳情。