London’s equity markets fell back in morning trading, weighed down by a lack of tangible progress in peace talks between Russia and Ukraine.
The FTSE 100 gave up early gains to fall 0.68 per cent, or 50.36 points, to 7,334.98, while the domestically focused FTSE 250 slid 0.75 per cent, or 157.45 points, to 20,818.24. UK stocks, however, were still on course for their best week since November 2020.
The prospect of a more aggressive increase in interest rates by the US Federal Reserve also put the gold spot price on course for its largest weekly decline since late last year as the safe haven asset fell to $1,937.53, down 0.23 per cent from yesterday.
Shares in ITV declined 3.3 per cent, or 2.84p, to 83p, making it among the worst performers of the blue-chip index in morning trading, after the US investment bank JP Morgan cut its target price on the stock to 170p, from 192p. SSP was also the victim of broker downgrade, this time from Exane BNP Paribas, which reduced its stance on the owner of Upper Crust to “neutral”, from “outperform”. That put it among the largest fallers on the mid-cap index, declining 4.6 per cent, or 11.7p, to 243p.
Analysts were kinder to other London-listed companies, putting through a raft of upgrades to earnings forecasts and ratings. The investment bank Jefferies increased its earnings per share forecast for the spread-betting specialist IG Group by 10 per cent for this year and by 2 to 3 per cent for next year and 2024 on the back of third-quarter revenue that came in ahead of consensus earlier this week. Analysts at the US investment bank also issued an improved “hold” rating on Johnson Matthey, arguing that higher platinum group metal prices would mostly offset weaker auto-production shorter-term, but the shares slid 26p, or 1,4 per cent, to £18.68½.
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Meanwhile, the brokerage Shore Capital upgraded its rating on the alcoholic beverage manufacturer C&C to a “buy”, from a “hold”, arguing that it was well placed to offset cost inflation. Shares in the FTSE 250 constituent were up 1.03 per cent, or 2.2p, to 215p, in early trading.
