U.K. stocks rebounded a little on Monday after hitting a one-month low earlier in the session on worries that high inflation could force the Fed to tighten its monetary policy sooner than expected.
The benchmark FTSE 100 was up 13 points, or 0.2 percent, at 7,030, after having hit an intraday low of 6,948.63. The index lost 1.9 percent on Friday on concerns about an early increase in interest rates.
Supermarket chain Morrisons Supermarkets jumped 32 percent following a takeover pursuit.
The company confirmed an unsolicited highly conditional non-binding cash offer of 230 pence per share from Clayton, Dubilier & Rice Funds XI or CD&R.
The Board, however, rejected the conditional proposal saying it significantly undervalues the firm. Tesco, Sainsbury and Ocado were up 2-5 percent.
Travel-related stocks were moving lower as U.K. scientists warned of ‘miserable winter’ due to new respiratory viruses related to the Delta variant, which originated in India.
Budget airline easyJet shed 0.6 percent, Ryanair edged down 0.2 percent and British Airways-owner IAG declined 0.8 percent.
In economic releases, British households’ optimism about their finances over the next twelve months reached its highest level in five years in the second quarter, survey results from IHS Markit showed.
The headline Scottish Widows household finance index, which measures households’ overall perceptions of financial wellbeing, rose to 44.7 in the second quarter from 42.0 in the first quarter.
The indicator signaled the weakest deterioration in U.K. household finances since the COVID-19 pandemic began.
FTSE 100 Recovers From An Early Slide
2021-06-21 09:34:41
