The UK stocks fell 0.6% to 5,847.76, for a third consecutive day, as investors remained cautious ahead of the two-day policy meeting of the Federal Open Market Committee (FOMC).
Falling metal prices pulled down mining stocks. Gold fell to a six-week low on the back of a stronger dollar this morning. Silver and platinum prices also fell. Meanwhile, investors showed caution ahead of a ‘flash’ survey of China’s manufacturing sector on Wednesday. Miners Kazakhmys, Anglo American, ENRC, Rio Tinto, Glencore and Xstrata were big losers of the day, followed by luxury brand Burberry, a stock sensitive to the Chinese economy.
On the other hand, the UK stock market saw an upswing in ARM Holdings, which beat forecasts in the third quarter and gave a confident outlook for the rest of the year. Experian, the information services company also climbed after increasing its holding in Serasa, Brazil’s leading personal credit checker.
Whitbread’s first-half revenues crossed the one-billion-pound mark, but it did not help the company’s stocks. “Whitbread’s H1 was marginally behind our estimates and there is no impetus from the trading outlook statement to warrant a FY13E forecast increase”, Investec analyst James Hollins, said.
CRH, the building materials group, was a heavy faller after HSBC downgraded its rating on the stock to ‘neutral’. Credit Suisse reiterated Lloyds neutral rating ahead of its third-quarter results on November 1, which sent its stocks down.
The UK stock market’s top ten gainers today include ARM Holdings 629.00p +5.80%, Experian 1,088.00p +3.92%, Wolseley 2,676.00p +0.56%, Centrica 327.80p +0.55%, National Grid 707.00p +0.21%, Severn Trent 1,666.00p +0.18%, British Sky Broadcasting Group 725.00p +0.14%, Tesco 315.45p +0.13%, United Utilities Group 723.50p +0.07%, and Pennon Group 728.50p -0.07%.
The UK stock market’s top ten losers today include Kazakhmys 723.00p -4.43%, Burberry Group 1,123.00p -4.18%, Eurasian Natural Resources Corp. 335.90p -2.86%, Rio Tinto 3,107.50p -2.71%, Anglo American 1,858.00p -2.65%, Weir Group 1,733.00p -2.53%, Glencore International 341.40p -2.53%, Antofagasta 1,276.00p -2.52%, Johnson Matthey 2,223.00p -2.50%, and Xstrata 969.40p -2.35%.