FTSE Slips During Early Trading
The FTSE 100 slipped slightly during early trading, extending the losses seen on Tuesday, which saw Wall Street endure the worst trading day of the year.
In the first opening minutes, the FTSE 100 fell by 43.6 points, a decline of 0.59%, to 7,334.74. The poorest performer of the morning was retailer Kingfisher.
Shares are slipping in London and the USA, with concerns rising after US President Donald Trump faced opposition to his promised reforms.
Prior to yesterday’s difficulties, London’s shares had been on the increase for four consecutive sessions, hitting three record closing highs.
Kingfisher dropped by 2.8 percent, in spite of it having announced an 8.3 percent rise in profits. Investors remain concerned that while the company has been performing well recently, the political uncertainty in France and the UK could affect its future profits.
Meanwhile, miners were some of the worst hit, with Anglo American, BHP Billiton, Antofagasta and Rio Tinto all slipping by more than two percent.
The pound increased by one tenth of a cent against the dollar and the euro, up to $1.2481 and EUR1.1546. On Tuesday, inflation rose to 2.3 percent, with food prices and fuel prices being two of the main drivers. The strong pound has helped to boost the share prices of companies that earn their income primarily in foreign currencies.
Wall Street, however, suffered its worst day of the year, as investors were concerned that Trump may not be able to deliver on his tax cut promises.
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