London markets took a beating yesterday driven lower by most sectors tumbling as investors fled stock markets on US Fed rate hike fears.
The capital’s premier FTSE 100 index closed 2.63 per cent lower at 7,297.15 points, while the domestically-focused FTSE 250, which is more aligned to the health of the UK economy, lost 3.64 per cent to fall to 21,452.50 points on a sobering day in the City.
Housebuilders drove London’s top indexes lower yesterday, with Barratt Developments notching the second worst losses on the FTSE 100 at 8.9 per cent.
Persimmon, Berkeley Group and Taylor Wimpey all fell more than 6.1 per cent collectively after Housing Secretary Michael Gove MP threatened to revoke housebuilders’ trading privileges if they do not fix cladding issues.
Consumer goods giant Unilever shot to the top of the FTSE 100’s top risers’ column after news emerged over the weekend that Nelson Peltz’s activist hedge fund Trian Partners had acquired a stake in the firm.
It finished 7.31 per cent higher, helping to partially offset sharp losses over the last week.
Peltz’s move has fuelled speculation that Unilever is set for a shak up to unlock value in the ailing Hellman’s mayonnaise manufacturer.
On the FTSE 250, short haul airlines were among the worst performers. Wizz Air dipped 4.16 per cent and easyJet had 5.32 per cent shaved off its share price. Darktrace plummeted over 14 per cent.
The pound lost ground on the dollar, weakening 0.61 per cent to buy $1.3472.