Friday 16 July 2021 5:31 pm

US stocks fall despite upbeat retail sales in June

An unexpected rebound in retail sales was not enough to prevent falls among US stocks on Friday.

The blue-chip S&P 500 dropped 0.22 per cent, while the tech-heavy Nasdaq fell 0.22 per cent.

The Dow Jones lost 0.23 per cent during morning trading.

The losses came as the US Labour Department released figures showing retail sales in June climbed 18 per cent annually to top pre-pandemic levels.

Yields on 10-year Treasuries rose slightly on the news to 1.31 per cent.

FTSE 100 dips below 7,000

London’s FTSE 100 dipped below 7,000 briefly on Friday as concerns about rapidly rising Covid cases mounts among investors.

The capital’s premier index climbed back above the benchmark, but was down 0.05 per cent, capping off a week littered with poor performances for the index.

Fears that the economic recovery could be derailed by the reintroduction of restrictions to quash the surge in Covid cases are intensifying.

The UK registered over 50,000 daily Covid cases for the first time since January on Friday.

The domestically-focused mid-cap FTSE 250 fell 0.15 per cent, while AIM were a bright spot, inching up 0.05 per cent.

The pound dipped 0.31 per cent against the greenback to buy $1.37.

Winners and losers

DCC Plc was the day’s best performer, gaining 2.38 per cent after the international sales company beat forecasts to post strong quarter one profit.

Cybersecurity firm Avast came second, adding 2.32 per cent as investors continue to be buoyed by news it is in takeover talks with US anti-virus software provider Norton.

Business services company Rentokil came third, up 2.29 per cent.

Luxury fashion retailer Burberry was Friday’s worst performer, sliding 5.02 per cent despite publishing results showing sales had climbed above pre-pandemic levels.

Commodity trader Glencore was the second worst performer, slipping 3.45 per cent. Miner Rio Tinto came third, down 3.44 per cent.