UK stocks open slightly lower as investors await Fed rates decision

Wed, 18th Sep 2019

UK stocks opened slightly lower on Wednesday as investors braced for an upcoming decision on interest rates from the US Federal Reserve later in the day. Most market watchers expect a 25 basis point cut. At 0846, the benchmark FTSE 100 index was down 4.19 points at 7.316.21. DIY group Kingfisher dropped 1.9% to 197.65p after it booked a fall in first-half profit, marred by another poor performance at its French unit. Sales also slid in the UK and Ireland as Brexit uncertainty weighs on consumer confidence. AstraZeneca gained 0.2% to 6,906p as it assumed full responsibility for developing and commercialising the Linzess treatment for irritable bowel syndrome with constipation in China. Auto dealer Pendragon slipped 12% to 9.56p on announcing that chairman Chris Chambers would stand down at the start of October. The company is now searching for a new chairman and a new chief executive. Cosmetics supplier Warpaint London added 1.9% to 52.49p, even as it swung to a first-half loss marred by lacklustre sales growth. The company also stuck to its guidance for the full year. Energy retailer Yu Group slumped 14% to 127.44p as it booked a deeper first-half loss after it was forced to review its strategy following the identification of accounting errors last year. Hostel owner Safestay shed 3.1% to 31p on announcing that it had agreed to acquire the freehold of a property in Glasgow for £3.2m that it would convert to a hostel. Business information and events company Bonhill fell 6.7% to 52.74 after it reported a first-half loss, though the company also declared a maiden dividend. Warehouse REIT fell 0.3% to 102.7p on announcing that it had acquired an eight-asset fully-let portfolio of reversionary warehouse and distribution assets from Aviva Investors for an initial £70m. Story provided by StockMarketWire.com

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