|
London stocks ended Tuesday mixed, after a US retail sales reading disappointed investors and BP shares fell as it suspended its share buyback programme. Meanwhile, in the UK, Prime Minister Keir Starmer sought to move on from speculation about his future after fending off serious calls to step down. The Labour leader told a meeting of government ministers that they were ‘strong and united’ after he vowed not to walk away from office just 19 months into a five-year term. Starmer’s position had looked precarious on Monday, when Scottish Labour leader Anas Sarwar demanded his resignation for appointing Peter Mandelson as US ambassador despite knowing he had maintained links to convicted sex offender Jefferey Epstein. ‘The truth is that, at the moment, no potential successor is willing to step forward,’ Commerzbank analyst Michael Pfister commented. ‘Local elections are coming up in the spring, and there are fears that the Labour Party will suffer significant losses. It is questionable whether any potential successor would dare to come forward before then.’ The FTSE 100 index closed down 32.39 points, 0.3%, at 10,353.84. The FTSE 250 ended up 129.27 points, 0.6%, at 23,469.30, and the AIM all-share closed down 1.65 points, 0.2%, at 815.39. The Cboe UK 100 was down 0.2% at 1,034.45, the Cboe UK 250 was up 0.6% at 20,802.44, and the Cboe small companies was up 0.6% at 18,757.42. Coca-Cola HBC was the second-highest UK blue-chip, up 4.7%. The Zug, Switzerland-based soft drinks bottler reported net profit of €940.4 million for 2025, rising 15% from €820.6 million in 2024, while net sales revenue climbed to €11.60 billion, up from €10.75 billion, driven by organic revenue growth of 8.1%. Coca-Cola HBC proposed a €1.20 dividend, up 17% from €1.03. It guided for 2026 organic Ebit growth of 7% to 10%, and expects organic revenue to rise 6% to 7%, in line with its medium-term target range. BP was down 3.2%. The London-based oil major will reduce capital expenditure in 2026, cut operating costs, and pursue its $20 billion disposal programme. Also, it is suspending its share buyback programme, saying excess cash will be used instead to reduce debt to create a ‘strong platform’ from which to invest in its ‘distinctive deep hopper of oil and gas opportunities’. On AIM, Switch Metals jumped 14%. The mining explorer, which is focused on developing battery and technology metals mines in the Ivory Coast, has identified additional tantalum-rich alluvial targets at its Issia project following the completion of a targeted alluvial work programme. Stocks in New York were higher. The Dow Jones Industrial Average was up 0.3%, the S&P 500 index up 0.1%, and the Nasdaq Composite up marginally. Apple was down 0.1%, and Alphabet Class A shares lost 1.9%. The UK Competition & Markets Authority on Tuesday said it secured commitments from Apple and Alphabet’s Google to improve fairness in app store processes. The UK competition watchdog said the California-based technology companies with a combined market share of over 99% of global mobile operating systems have agreed commitments ‘to deliver immediate improvements in certainty, transparency and fairness for thousands of UK businesses dependent on app stores to serve their customers.’ The commitments include an app review which aims to ensure that Apple and Google review apps to be distributed on their app stores in a fair, objective and transparent way without discriminating against apps which compete with their own. The yield on the US 10-year Treasury was quoted at 4.14%, narrowing from 4.21%. The yield on the US 30-year Treasury was quoted at 4.78%, narrowing from 4.86%. This follows data published by the US Census Bureau showing that retail sales were lower than anticipated in December. Advance estimates of US retail and food services sales for December were virtually flat at $735.0 billion in December, compared to $735.1 billion in November when they had risen 0.6%. The FXStreet-cited consensus had expected monthly growth of 0.4% in December. Separately, the US Bureau of Labor Statistics reported that US import prices edged up 0.1% monthly in December, lower than 0.4% in November and below an expected uptick of 0.2%. US export prices, meanwhile, advanced 0.3% in December, lower than 0.5% in November but ahead of an expected increase of just 0.1%. Finally, ADP Research reported that for the four weeks ending January 24, US private employers added an average of 6,500 jobs a week, higher than an average of 5,000 a week for the four weeks ending January 17. Also in the US, Commerce Secretary Howard Lutnick on Tuesday denied having connections to the late convicted sex offender Jeffrey Epstein, as he came under fire from lawmakers calling for him to step down. ‘Over a 14 year period, I did not have any relationship with him. I barely had anything to do with that person,’ Lutnick told a Senate committee hearing. In European equities on Tuesday, the CAC 40 in Paris closed up 0.1%, while the DAX 40 in Frankfurt ended down 0.1%. The pound was quoted higher at $1.3661 at the time of the London equities close on Tuesday, compared to $1.3612 on Monday. The euro stood at $1.1901, higher against $1.1814. Against the yen, the dollar was trading lower at JP¥154.23 compared to JP¥157.04. Brent oil was quoted at $68.82 a barrel at the time of the London equities close on Tuesday, slightly down from $68.85 late on Monday. Gold was quoted at $5,011.70 an ounce, down against $5,068.99. The biggest risers on the FTSE 100 were Croda International, up 275.00p at 3,201.00p, Coca-Cola HBC, up 200.00p at 4,478.00p, Burberry, up 50.00p at 1,225.50, Berkeley Group, up 160.00p at 4,272.00p, and Barratt Redrow, up 13.74p at 389.14p. The biggest fallers on the FTSE 100 were Standard Chartered, down 109.00p at 1,790.00p, Babcock International, down 65.00p at 1,364.00p, Antofagasta, down 17.00p at 3,648.00p, St James’s Place, down 53.00p at 1,449.00p, and Hiscox, down 50.58p at 1,453.42p. Wednesday’s economic calendar includes Chinese consumer and producer inflation data, and US nonfarm payrolls figures. Wednesday’s UK corporate calendar includes third-quarter results from James Hardie Industries, and half-year results from both Renishaw and Barratt Redrow. Copyright 2026 Alliance News Ltd. All Rights Reserved.
|
