FTSE 100 Falls for Second Day as Bank, Energy Stocks Weigh on UK Market
Market Performance and Sector Highlights
FTSE 100 and FTSE 250 Index Movements
Aug 27 (Reuters) - London's FTSE 100 slipped for a second straight session on Thursday as weakness in bank and energy stocks eclipsed gains in data and software shares.
The blue-chip FTSE 100 index fell 0.8% to 10,792.54 points in its steepest one-day drop in 1-1/2 months. The midcap FTSE 250 ended about flat.
Sector Performance Overview
Bank and Energy Stocks Drag Down the Market
• Bank stocks were among the biggest drags on the index as gilt yields fell after investors pushed back expectations for the Bank of England's next quarter-point interest rate hike to 2027.
• Oil majors Shell and BP dropped about 1.5% each.
Technology and Software Sectors Show Strength
• Technology shares were a bright spot, leading gains sectorally, up 1% as Nvidia forecast a 70% jump in revenue next fiscal year, underscoring unabated demand for AI computing.
• UK's data and software firms climbed after forecast bumps from Salesforce and CrowdStrike offered a boost to the lagging sector. Relx gained 3.3%, London Stock Exchange Group added 4.4% and Experian climbed 2.8%.
Notable Individual Stock Movers
Top Gainers in the FTSE Midcap and FTSE 100
Halfords
• Among individual stocks, Britain's Halfords jumped 12.6% to the top of the FTSE Midcap index after forecasting annual profit above market expectations.
Computacenter
• Computacenter rose 4.7% to a record high and topped the FTSE 100 index after Peel Hunt upgraded the stock to "buy" from "add" and raised its price target to 6,000 pence from 4,400 pence.
Ten Lifestyle Group
• Ten Lifestyle Group climbed 3.9% after it said it had secured a new multi-year contract in the Americas.
Upcoming Events and Market Outlook
• Attention shifts to a speech from Federal Reserve Chair Kevin Warsh at Jackson Hole on Friday after hotter-than-expected inflation data prompted investors to modestly increase bets on a rate hike next month.
(Reporting by Tharuniyaa Lakshmi and Medha Singh in Bengaluru; Editing by Tasim Zahid and Gareth Jones)
