Advertisement
UK markets open in 2 hours 55 minutes
  • NIKKEI 225

    39,809.77
    +69.37 (+0.17%)
     
  • HANG SENG

    16,550.90
    -186.20 (-1.11%)
     
  • CRUDE OIL

    82.59
    -0.13 (-0.16%)
     
  • GOLD FUTURES

    2,163.20
    -1.10 (-0.05%)
     
  • DOW

    38,790.43
    +75.63 (+0.20%)
     
  • Bitcoin GBP

    51,511.55
    -2,127.21 (-3.97%)
     
  • CMC Crypto 200

    885.54
    0.00 (0.00%)
     
  • NASDAQ Composite

    16,103.45
    +130.25 (+0.82%)
     
  • UK FTSE All Share

    4,218.89
    -3.20 (-0.08%)
     

Lloyds, Stan Chart weigh on FTSE 100 amid global stocks rout; AstraZeneca gains

FILE PHOTO: Signage is seen outside the entrance of the London Stock Exchange in London (Reuters)

By Sagarika Jaisinghani and Susan Mathew

(Reuters) - Gloomy quarterly results from banks and a clutch of other firms saw the FTSE 100 post its worst session in five weeks on Thursday, while uncertainty about U.S. elections and a collapse in economic growth in the world's largest economy also weighed.

Global sentiment took a hit as a 32.9% plunge in U.S. second quarter economic growth, albeit lesser than expected, and a tweet from U.S. President Donald Trump about possibly delaying November elections unnerved markets.

"There's already heightened uncertainty around the election ... and the potential for a fiscal policy regime change. This just adds to that uncertainty," said Phil Orlando, chief equity market strategist, at Federated Hermes in New York.

ADVERTISEMENT

The blue-chip FTSE 100 <.FTSE> ended 2.3% lower on broad-based losses, with Lloyds Banking Group <LLOY.L> sliding 7.6% to an eight-year low after swinging to a rare pre-tax loss in the first half of 2020.

Standard Chartered <STAN.L> tumbled 6.2% as the lender posted a 33% slump in first-half profit after a six-fold jump in credit impairment charges.

The mid-cap FTSE 250 <.FTMC> slipped 1.3%, led by a 12% fall for car dealer Inchcape <INCH.L> as impairment charges pushed it to losses.

The export-laden FTSE 100 is on track to record monthly declines in July after rallying since April as faltering economic data and surging COVID-19 cases have dented optimism over a swift post-pandemic economic recovery.

Oil majors <.FTNMX0530> BP <BP.L> and Royal Dutch Shell <RDSa.L> lost 3.6% and 5.5% as crude prices fell on fears that more COVID-19 containment measures could hurt demand. [O/R]

London shares of travel company TUI <TUIT.L> slipped after it said it will shut 166 stores in the UK and Ireland due to the downturn in travel caused by the coronavirus - a move that will lead to more losses in the battered sector.

AstraZeneca <AZN.L>, meanwhile, rose 1.6% on an upbeat second quarter and reiteration of 2020 forecasts, while defence company BAE Systems <BAES.L> jumped after announcing plans to restart dividend payouts.

(Additional reporting by Sinead Carew in New York; Editing by Uttaresh.V and Sherry Jacob-Phillips)