Canada
This article was added by the user . TheWorldNews is not responsible for the content of the platform.

London stocks slide as policy woes continue

Author of the article:

Reuters

Reuters

UK’s blue-chip shares tumbled on Thursday as banks and consumer staples stocks slid, with British prime minister’s views further unnerving investors, a day after the Bank of England promised a debt buy-back to restore market stability.

The export oriented FTSE 100 was down 1.6%, while the more domestically oriented FTSE 250 shed 1.4% by 0719 GMT.

Sign up to receive the daily top stories from the National Post, a division of Postmedia Network Inc.

By clicking on the sign up button you consent to receive the above newsletter from Postmedia Network Inc. You may unsubscribe any time by clicking on the unsubscribe link at the bottom of our emails. Postmedia Network Inc. | 365 Bloor Street East, Toronto, Ontario, M4W 3L4 | 416-383-2300

Britain is facing “very, very difficult” economic times and the government had to launch immediate action to ignite economic growth, Prime Minister Liz Truss said in defense of her tax-cutting budget.

Meanwhile, yields on British government bonds rose on Thursday, after they fell sharply on Wednesday when the Bank of England revived its bond-buying program to quell a gilts sell-off that threatened pension funds in the country.

Consumer staples stocks weighed on the benchmark FTSE 100 index, with British American Tobacco sliding 2.9% as it traded without entitlement to its dividend payout. Banking stocks dropped 2% in early trading.

Miners declined 2.0% as copper prices struggled due to concerns of potential shortages from lower inventories. (Reporting by Johann M Cherian in Bengaluru; editing by Uttaresh.V)