FTSE 100 stabilises but still down more than 1.5% amid Covid fears

Wed, 28th Oct 2020

FTSE 100 stabilises but still down more than 1.5% amid Covid fears The FTSE 100 was down 1.7% to 5,629.42, off its six-month lows from this morning but still heavily in negative territory as investors weigh news of further national lockdowns across Europe to combat a coronavirus second wave. Wall Street is unlikely to provide any cheer when trading begins later with US futures pointing to further losses, with nervousness over the election also building ahead of 3 November. Aston Martin Lagonda went against the tide, revving 5.1% higher to 57.3p, after it unveiled a refinancing package late on Tuesday that would see Mercedes-owner Daimler lift its stake in the company to 20%, up from 2.3%. Aston Martin also was raising £125 million from an issue of shares to companies including Zelon and Permian Investment Partners. Clothing retailer Next also bucked the wider market, gaining 3.1% to £62.78, having upgraded its annual profit guidance after it grew its sales by a more-than-expected 1.4% in the third quarter. Next's pre-tax profit for the full year, based on a central sales scenario, was now expected at £365 million, up from the £300 million scenario given in September. GlaxoSmithKline ticked up 0.2% to £13.62 following news that it and French peer Sanofi had signed a supply agreement with global vaccine alliance organisation Gavi for Covid-19 vaccines. Property developer Land Securities dropped 3.5% to 507.8p on announcing that it had appointed Vanessa Simms as its new chief financial officer. Sims was currently CFO of residential landlord Grainger, which shed 2.3% to 276.4p. Footwear retailer Shoe Zone tumbled 15.9% to 38.25p after it said it would not be in a position to start paying dividends until the 2025 financial year, while also warning of a full-year loss. Pre-tax losses at Shoe Zone for the year through 5 October were expected in the range of £10.0 million to £12.0 million, with revenue seen slumping 24% to £122.6 million. Specialist engineering company IMI fell by a relatively modest 0.3% compared to the wider market, to £10.63, on announcing that trading in the third quarter had been 'somewhat better' than previous expectations amid a one-off surge in ventilator sales. Food and beverage ingredient supplier Tate & Lyle shed 0.5% to 626.6p, having agreed to acquire 85% shareholding of Thai tapioca modified food starch manufacturer Chaodee Modified Starch, for an undisclosed sum. Solar project investor Next Energy Solar Fund firmed 0.7% to 107.8p after it first-half generation volumes exceeded its budget by 11%. Next Energy Solar Fund reaffirmed its full-year dividend target of 7.05p per share. At 12:06pm: (LON:AML) Aston Martin Lagonda Global Holdings PLC share price was +2.95p at 57.45p (LON:GSK) Glaxosmithkline PLC share price was +1.9p at 1362.9p (LON:IMI) Imi PLC share price was -8.5p at 1057.5p (LON:NXT) Next PLC share price was +192p at 6282p (LON:SHOE) Shoe Zone Plc share price was -7.5p at 38p Story provided by StockMarketWire.com

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Value6,335.55
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