The UK stock market displayed nervousness ahead of US GDP estimates, losing 0.87% to 5,754.48 this afternoon, when news that more banks were involved in the Libor rate-rigging scandal, emerged.
This week, the UK stocks were plagued by poor earnings data from different regions from Japan; contrasting manufacturing data from the Eurozone and China, minutes of the latest Federal Reserve policy meeting; and a better-than-expected reading of UK GDP yesterday.
The UK stock market saw the banking stock tank today as The Wall Street Journal reported last night that the probe into the Libor rate-rigging scandal has spread to nine more banks. Lloyds, Credit Suisse and Bank of America, Lloyds, RBS and Barclays are the nine banks named in the Libor probe. The banking stocks were badly hit after the news, with Lloyds, RBS and Barclays emerging as top losers of the day.
Weir, the engineering giant, gained the most after Morgan Stanley raised its target price for the stock from 1,440p to 1,670p. Chip designer ARM Holdings fell after Apple failed to reach market expectations in its quarterly results. ARM Holdings’ chips are found in iPhones and iPads.
Shire, the pharmaceutical giant, tumbled despite Deutsche Bank, UBS and Credit Suisse reiterating their ‘buy’ and ‘overweight’ ratings on the stock this morning. Anglo American’s stocks rose after CEO Cynthis Carroll declared her decision to quit.
The UK stock market’s top gainers today include Weir Group 1,739.00p +3.02%, Anglo American 1,896.00p +2.07%, Admiral Group 1,113.00p +0.82%, Pearson 1,221.00p +0.74%, Associated British Foods 1,380.00p +0.36%, Morrison (Wm) Supermarkets 271.00p +0.30%, BAE Systems 310.30p +0.06%, IMI 918.00p -0.05%, Sainsbury (J) 353.10p -0.11%, and WPP 788.50p -0.13%.
The UK stock market’s top losers today are Kazakhmys 710.00p -3.53%, Fresnillo 1,877.00p -2.75%, Shire Plc 1,722.00p -2.66%, Wood Group (John) 826.00p -2.65%, Melrose 231.40p -2.65%, ARM Holdings 647.50p -2.63%, CRH 1,089.00p -2.24%, Prudential 834.50p -2.17%, Schroders 1,510.00p -2.14% and Petrofac Ltd. 1,530.00p -2.11%.