London’s FTSE 100 was down 0.8% at 7,429.12 in afternoon trade on Monday.
Housebuilders Barratt and Persimmon were under the cosh on news the government will seek an extra £4bn from property developers to fund cladding repairs on low-rise flats.
Going the other way, British American Tobacco was in the black after Barclays upped its price target on the stock to 3,400p from 3,300p. The bank, which kept its ‘overweight’ rating on the shares, said BAT was at an inflection point.
“BAT has been a frustrating stock to own over the last three years, with a total return of circa 41% versus c50% for the MSCI World Staples Index. We think this will now change due to two catalysts.”
Firstly, it noted that BAT will start repurchasing shares soon and secondly, that it will now start breaking out next generation product contribution losses.
Coca-Cola HBC was boosted by an upgrade to ‘buy’ at Bank of America Merrill Lynch, while ITV rose after an upgrade to ‘outperform’ at Exane.
FTSE 100 – Risers
Vodafone Group (VOD) 118.54p 3.44%
British American Tobacco (BATS) 2,887.00p 2.38%
HSBC Holdings (HSBA) 492.45p 2.10%
Coca-Cola HBC AG (CDI) (CCH) 2,664.00p 1.91%
BAE Systems (BA.) 569.20p 1.90%
Sainsbury (J) (SBRY) 280.30p 1.85%
Associated British Foods (ABF) 2,086.00p 1.71%
International Consolidated Airlines Group SA (CDI) (IAG) 163.40p 1.48%
Barclays (BARC) 208.25p 1.46%
ITV (ITV) 115.85p 1.36%
FTSE 100 – Fallers
Spirax-Sarco Engineering (SPX) 14,320.00p -5.85%
Ashtead Group (AHT) 5,722.00p -5.55%
Scottish Mortgage Inv Trust (SMT) 1,134.00p -5.30%
Experian (EXPN) 3,241.00p -5.07%
Barratt Developments (BDEV) 699.00p -4.95%
Persimmon (PSN) 2,658.00p -4.87%
Rightmove (RMV) 731.00p -4.42%
Halma (HLMA) 2,851.00p -4.14%
Dechra Pharmaceuticals (DPH) 4,288.00p -4.07%
Croda International (CRDA) 9,076.00p -4.04%
