The FTSE continued to struggle with what was, all told, a bad day for corporate updates, while the Dow Jones is set to re-cross a key level.
After Sainsbury's (LON:SBRY) CMA-inflicted slide on Wednesday, it was Centrica’s turn to burden the UK index, the energy firm plunging 11% after a woeful statement that included a further drop in customers at British Gas and another warning about the costly impact of Ofgem’s price cap on its bottom line.
Centrica (LON:CNA) wasn’t alone, however, in dragging on the FTSE. BAE Systems (LON:BAES) was down more than 6% as it spoiled an upbeat update by reminding investors about the precarious nature of the current geopolitical moment, while its commodity stocks were tinged with red. All this caused the FTSE to double its initial losses, forcing it back under 7200 following a 50 point fall.
Outside the FTSE 100, Just Eat (LON:JE) dropped 5% as Uber Eats fired the latest shot in the takeaway wars by cutting its fees for food delivery, putting further pressure on a company that manged just one year in the blue chip index.
Over in the Eurozone it seemed that the DAX and CAC were content to ignore the latest warning signs about the region’s economy, a worse than forecast flash manufacturing PMI – one that saw it tip into contraction territory – somewhat countered by a better than estimated services reading.
Though it is only looking at a 50 point increase after the bell, that small rise would be enough to lift the Dow Jones back above 26000, the, admittedly limited, positivity relating to Trump appearing to downplay the trade ceasefire deadline, claiming March 1st is ‘not a magical date’.
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