Weak commodity prices and BP's $1.7bn hit drag on FTSE
Source - SMW
A fall in commodity prices and a financial hit for oil giant BP (BP.) weighed on the FTSE 100.
Miners Fresnillo (FRES) and Antofagasta (ANTO) were among the casualties amid declines in the value of gold and copper. Fresnillo fell 3.5% to £13.78 and Antofagasta shed 2.8% to £10.09.
BP (BP.) said it would take a $1.7bn hit in its fourth quarter results due to claims from the Deepwater Horizon oil spill in 2010. Its shares slipped 2.7% to 518.3p.
The FTSE closed 0.2% lower at 7,755.
Among the blue chip stocks enjoying a positive session, chemicals group Johnson Matthey (JMAT) traded 2.8% higher at £33 as it extended Monday's gains driven by positive broker comment.
Brent crude oil was down 1.3% to $69.37 per barrel and copper was down 0.5% to $3.18 per pound.
Investor sentiment remained strong in the US on Tuesday as the Dow Jones briefly surpassed the 26,000 mark for the first time.
Other indices performed well with the Nasdaq up 0.5% and S&P 500 trading 0.2% higher around 4:45pm UK time.
MID AND LARGE CAP RISERS AND FALLERS
Back in the UK, JD Sports Fashion (JD.) upgraded pre-tax profit guidance for the year to 3 February 2018 to approximately £300m which is higher than analysts' previous forecast range of £270m to £295m. The trainers and sportswear retailer ran 6.6% higher to 389.8p.
Elsewhere in the retail sector, Dunelm (DNLM) slid 4.4% to 670p after saying half year margins were down on the previous year.
Sausage rolls seller Greggs (GRG) delivered its seventeenth consecutive quarter of like-for-like sales growth thanks to a jolly Christmas trading, helping the shares rise 2.4% to £13.36.
Home credit specialist Provident Financial (PFG) cheapened 12.6% to 804p after warning its consumer credit division would incur a pre-exceptional loss for 2017 of £120m.
Capita (CPI) lost a life and pensions administration contract with Prudential (PRU), sending its shares down 5.5% to 397.8p. The work generated £80m of revenue for Capita in 2017.
Asset manager Ashmore (ASHM) reported its assets under management increased $4.5bn to $69.4bn in its second quarter. The stock retreated 1.5% to 421.2p.
SMALL CAP RISERS AND FALLERS
Teleradiology services provider Medica (MGP) slumped 14.4% to 166p as full year results missed market expectations due to capacity constraints and weaker demand in the fourth quarter of 2017.
Budget gym operator The Gym Group (GYM) was in rude health thanks to sales growth of 24.3% in 2017. The increase in sales was supported by a 35.5% rise in new memberships. The stock gained 2.4% to 232.5p.
Speciality chemical business HaiKe (HAIK) could be ready to throw in the towel. The struggling company said it was exploring strategic options, including potentially delisting from AIM, following an underwhelming trading update. Its shares crashed 38% to 17.3p.
IT solutions provider Instem (INS) rallied 24.5% to 178p thanks to strong trading in the second half of 2017 and a contract win worth over £1.7m over two years.
The market was also pleased with IG Design (IGR) which gained 5.4% to 402p following a hike in full year guidance, driven by strong trading in its third quarter. The greetings card maker said it also expected earnings to benefit from US tax reforms.