COVID curbs, Brexit uncertainty cap London FTSE 100 gains
October 23, 2020
Finance

COVID curbs, Brexit uncertainty cap London FTSE 100 gains

LONDON (UK) – Bringing an end to a four-day losing streak on Friday, London’s FTSE 100 climbed 1%. But the gains were capped by uncertainty over Brexit and the new lockdowns.

Led by pharmaceutical, aero, mining and retail stocks, blue-chip index registered a climb of 1.0%.

In the previous session, British stocks had tumbled as new curbs were imposed in London amid mounting anger over the economic, social and health ramifications of the restrictions, the biggest since World War II.

On Friday, the mid-cap FTSE 250 index registered a rise of 0.2% as investors waited for Prime Minister Boris Johnson’s response to the EU demand for more concessions to strike a deal or brace for a jittery exit in three months.

“The fact that (the talks) are getting a little fraught at this stage probably isn’t a surprise to most investors,” said Richard Dunbar, who heads multi-asset research at Aberdeen Standard Investments.

“In the end, the best outcome is likely to be a fairly narrow trade deal.”

J D Wetherspoon Plc tumbled 14.0% after the pub operator posted an annual loss and said it would slash jobs.

Jupiter Fund Management Plc shed 1.8% after suffering one billion pounds in net outflows in Q-3.

BP Plc shares rose 1.2% after dropping to their lowest level since 1995 in the previous session.

Burberry Group Plc, which makes luxury goods, registered a jump of 3.4% after LVMH, the world’s biggest luxury goods group, said the sales of Louis Vuitton handbags helped it stem the fallout from the pandemic in Q-3.

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