London markets opened modestly lower on Wednesday as traders dialled down ahead of the Christmas holiday break.
Trading volumes are light, with the London Stock Exchange closing early at 12:30 GMT for Christmas Eve and remaining shut on Thursday and Friday.
The FTSE 100 slipped 0.2% to 9,873.85, while the FTSE 250 inched up 0.1% to 22,367.44. The AIM All-Share eased 0.1%.
BP rose 0.6% after agreeing to sell a 65% stake in its Castrol lubricants business to Stonepeak Partners at an enterprise value of $10 billion.
BP will receive around $6 billion in net proceeds, which it plans to use to reduce debt and streamline its portfolio. The company will retain a 35% stake in the joint venture. Interim CEO Carol Howle called the deal “a very good outcome for all stakeholders.”
Metlen Energy & Metals led gains, up 2.6% after confirming Chilean disposals, while Games Workshop fell 1.2%. Pharmaceutical stocks weighed, with AstraZeneca and GSK both down 0.7%.
The FTSE 250 saw Ceres Power Holdings retreat 2.6%, while Patria Private Equity gained 1.8%. Among smaller caps, Litigation Capital tumbled 23% after quantifying adverse costs in a class action investment.
Globally, Asian markets were mixed, with the Nikkei down 0.1%, Shanghai Composite up 0.5%, Hang Seng up 0.2%, and Australia’s S&P/ASX 200 down 0.4%. US stocks finished higher on Tuesday, with the Dow up 0.2%, S&P 500 up 0.5%, and Nasdaq up 0.6%. US 10-year Treasury yields narrowed to 4.16%, with the 30-year at 4.83%.
Gold extended its rally, trading at $4,490 an ounce early Wednesday, as safe-haven demand remained strong amid year-end market caution.
Markets are likely to remain muted until after the holiday.