FTSE 100 Subdued On Stronger Pound

Correcting the second and third paragraphs for UK GDP data

U.K. stocks were subdued on Tuesday, with a stronger pound and caution ahead of key U.S. inflation data due out later in the day keeping underlying sentiment cautious.

Meanwhile, official data revealed earlier in the day that the U.K. economy expanded in February though lockdown restrictions were in place to varying degrees across all four nations of the country.

Gross domestic product grew 0.4 percent, following a revised 2.2 percent fall in January. This was slower than the expected growth of 0.6 percent. February’s GDP was 7.8 percent below the levels seen in February 2020, data showed.

Another government report showed that the visible trade gap widened to GBP 16.44 billion in February from GBP 12.59 billion in January. On a monthly basis, exports and imports of goods increased 9.9 percent and 17.4 percent, respectively.

The benchmark FTSE 100 was down about 5 points at 6,883 after losing 0.4 percent on Monday.

Miners Anglo American, Antofagasta and Glencore rose between half a percent and 1.2 percent after customs data showed Chinese exports climbed 30.6 percent in dollar terms in March from a year earlier.

BP Plc and Royal Dutch Shell were down about 1 percent even as oil prices ticked up amid Middle East tensions.

Defense contractor Babcock International jumped 33 percent on restructuring news.

Hays rallied 2.3 percent after the recruiter said it expects annual profit to be ahead of market expectations.

JD Sports Fashion climbed 3 percent as the retailer reinstated dividend payments and forecast higher earnings for the current year.

Online food ordering company Just Eat Takeaway gained 2.6 percent after saying its first-quarter orders rose 79 percent.

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