Markets: BP figures ‘take wind’ out of Footsie

DISAPPOINTING figures from oil giant BP dragged the Footsie down yesterday as traders awaited news from the European Central Bank (ECB) tomorrow over possible financial stimulus.

The heavily-weighted stock shaved about 14 points off the FTSE 100 index, which closed down 1 per cent, or 58.35 points, at 5,635.28, surrendering most of Monday’s gains and ending a three-day winning streak.

David Jones, chief market strategist at IG Index, said: “Results from BP and UBS that both fell short of expectations have taken some of the wind out of investors’ sails.”

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Traders were also nervous amid fears that the ECB may not start buying bonds again, which would dash hopes for a eurozone rescue package.

Dublin-based building materials firm CRH sank to the foot of the FTSE 100 after rival Heidelberg Cement reported problems in several key markets. CRH fell 5.8 per cent, or 71p, to 1,160p.

Leeds Group, the Bradford-based textile industry investor, was flat at 15.88p despite the firm taking a £236,000 writedown on its investment in Dawson International, the Borders-based cashmere maker that last week warned it may have to enter administration. Leeds posted profits of £818,000 for the year to 31 May.

NEW YORK: Stocks meandered lower as investors awaited the outcome of the Federal Reserve Board’s two-day meeting when it is widely expected to unveil a new package stimulus to help revive the faltering economic recovery.

Stocks cooled on Monday
and the chill carried over into yesterday’s session, following the best two-day run this year. The Dow was down 64.33 points at 13,008.68.

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