FTSE Close: Stocks slide as Fed rate cut hopes fade
London stocks closed lower on Tuesday, as investors dialled back expectations for Federal Reserve interest rate cuts going forward, while also eyeing key UK inflation data due on Wednesday.
The blue-chip FTSE 100 index fell 0.5%, ending the day at 7,558.34. The FTSE 250 index dipped 0.4% to 19,193.32, and the AIM All-Share index managed to edge up 0.1%, to finish at 747.81.
In stock news, Experian shares climbed 2.3%. The credit checking company said total revenue rose 9% in the fiscal third quarter ended December 31, or 7% at constant exchange rates. Organic revenue was up 6% for the quarter. Experian’s North American division, which generates 67% of total group revenue, saw a 6% jump. Experian’s CEO Brian Cassin said the figures were at the “upper end” of expectations.
Rightmove shares sank 4.3% after JPMorgan downgraded Britain’s largest property portal to ‘underweight’ from ‘neutral’. Rightmove has fallen almost 10% since rival OnTheMarket sealed its takeover by CoStar Group. OnTheMarket said Tuesday it has signed an agreement for residential agency Leaders Romans Group to advertise its property listings on the portal.
Spirent Communications shares surged 11%, even as it said 2023 results would be in line with recently lowered expectations after “a challenging year”. It expects to post a $45 million adjusted operating profit for 2023.
THG shares rallied 7.0% after the e-commerce firm guided for a jump in full-year profits despite a 7.1% drop in Q4 revenue. It also announced a new partnership with Holland & Barrett.
Superdry stock plunged 15% amid reports it has appointed PwC to review its finances, after the fashion retailer warned in December of a profit slide amid “challenging trading conditions”.
