FTSE 100 movers: Kingfisher hit by downgrade; Polymetal shines
London’s FTSE 100 was down 2.4% at 6,170.80 in afternoon trade on Wednesday.
B&Q owner Kingfisher and clothing and home retailer Next both lost ground after Citi downgraded the stocks to ‘sell’, saying they are among its least preferred stocks in the sector.
On the retail sector more generally, Citi said: "Covid-19 has had an unprecedented impact on UK Retail and we expect it to drive one of the worst economic crises in a generation.
"We believe the recent rebound in share prices is based on shorter-term impacts (including store re-openings and potential VAT cuts), but underestimates lower fundamental demand."
Housebuilder Persimmon was also in the red after saying it has recruited National Express chief executive Dean Finch as its next CEO to replace David Jenkinson. Finch is expected to join Persimmon at the end of 2020 after more than 10 years in charge at National Express.
Going the other way, precious metals miner Polymetal shone as gold prices rallied, while Aveva was in the black after being resumed at ‘buy’ by Bank of America Merrill Lynch.
FTSE 100 - Risers
Polymetal International (POLY) 1,601.50p 1.68%
Avast (AVST) 527.50p 1.64%
Ocado Group (OCDO) 2,011.00p 1.51%
Aveva Group (AVV) 4,165.00p 1.09%
Sainsbury (J) (SBRY) 205.60p 0.49%
Auto Trader Group (AUTO) 534.20p 0.23%
Flutter Entertainment (FLTR) 11,400.00p 0.22%
Just Eat Takeaway.Com N.V. (CDI) (JET) 8,246.00p 0.02%
Admiral Group (ADM) 2,331.00p 0.00%
Homeserve (HSV) 1,310.00p 0.00%
FTSE 100 - Fallers
Kingfisher (KGF) 213.70p -5.82%
International Consolidated Airlines Group SA (CDI) (IAG) 237.60p -5.68%
Next (NXT) 4,984.00p -4.12%
Persimmon (PSN) 2,265.00p -4.11%
ITV (ITV) 74.56p -4.04%
Compass Group (CPG) 1,129.50p -4.04%
Smith (DS) (SMDS) 328.70p -3.86%
Land Securities Group (LAND) 572.00p -3.83%
BAE Systems (BA.) 489.70p -3.79%
Melrose Industries (MRO) 116.35p -3.76%