Energy stocks fell 2.5% alongside a slump in oil prices after U.S. President Donald Trump reached a deal to import up to $2 billion worth of Venezuelan crude
International News via Reuters:
The UK’s FTSE 100 index edged lower on Wednesday after a run of record highs, as investors assessed U.S.-Venezuela developments and flocked to defensive utilities and real estate stocks.
The blue-chip FTSE 100 fell 0.5% by 1010 GMT. The domestically focused mid-cap index was about flat, while the pan-European STOXX 600 index was up just 0.1%.
Energy stocks fell 2.5% alongside a slump in oil prices after U.S. President Donald Trump reached a deal to import up to $2 billion worth of Venezuelan crude.
Energy stocks BP and Shell fell 2.9% and 2.2% respectively.
The FTSE 350 index of precious metal miners led losses, down 2.4%, after gold slipped more than 1%. [GOL/]
UK stocks had started the year on a strong note. The blue-chip FTSE topped 10,000 points for the first time last week as investors also priced in Bank of England rate cuts later this year. Tuesday’s record high was the fourth in five sessions.
The FTSE small-cap index was down 0.1% after coming within 0.5% of its all-time high from 2021 earlier in the session.
“Small caps are clearly more attractively valued than large caps in the UK,” said Joachim Klement, head of investment strategy at Panmure Liberum, in a note on Tuesday.
“Our analysis indicates that solid earnings growth will boost total returns in the UK, but the FTSE 250 may lag the FTSE 100 and FTSE Small Cap.”
Among individual stocks, Topps Tiles rose 1.5% after the tile retailer reported a 3.7% rise in first-quarter revenue, helped by resilient demand from builders and contractors.
Edinburgh Worldwide Investment Trust was up 1.8% after top shareholder Saba Capital renewed its call for investors to elect a new, independent board after a “suspiciously timed” sell-down of the trust’s SpaceX stake.
Reporting by Tharuniyaa Lakshmi in Bengaluru; Editing by Sahal Muhammed
