FTSE 100 movers: Diageo hit by downgrade; IHG recovers

London’s FTSE 100 was up 0.9% at 7,477.50 in afternoon trade on Tuesday.

InterContinental Hotels was on the front foot, recovering from heavy losses a day earlier on worries about the impact of the coronavirus.

Citi said in a research note on European hotels that IHG has the greatest exposure to China, with French hotel chain Accor less exposed. "We highlight IHG’s 14% drop in managed and franchised APAC revenues post SARS in 2003. Any impact on trading may be amplified given the timing of Chinese New Year, and already weak Hong Kong trading," it said.

Drinks maker Diageo was knocked lower by a downgrade to ‘underweight’ at JPMorgan.

BAE Systems was also weaker despite an upgrade to ‘overweight’ from ‘equalweight’ at Barclays, following two core acquisitions earlier in January.

Analyst Charlotte Keyworth said the deals "suggest opportunism, favourable timing and, importantly, that the new management team are allocating capital to address the main drivers of the long-standing valuation discount to US primes".

FTSE 100 - Risers

Whitbread (WTB) 4,345.00p 2.50%
Glencore (GLEN) 226.65p 2.37%
Hargreaves Lansdown (HL.) 1,840.00p 2.28%
InterContinental Hotels Group (IHG) 4,666.50p 2.11%
Reckitt Benckiser Group (RB.) 6,254.00p 2.02%
Phoenix Group Holdings (PHNX) 759.00p 2.02%
St James's Place (STJ) 1,120.00p 2.00%
Unilever (ULVR) 4,512.00p 1.89%
Kingfisher (KGF) 206.10p 1.78%
Compass Group (CPG) 1,932.50p 1.74%

FTSE 100 - Fallers

Diageo (DGE) 3,141.50p -1.60%
NMC Health (NMC) 1,346.50p -0.99%
DCC (DCC) 6,234.00p -0.95%
Rightmove (RMV) 660.60p -0.81%
Halma (HLMA) 2,128.00p -0.79%
BAE Systems (BA.) 630.40p -0.69%
Bunzl (BNZL) 2,000.00p -0.50%
ITV (ITV) 139.25p -0.36%
Sage Group (SGE) 750.60p -0.35%
Meggitt (MGGT) 670.60p -0.33%