FTSE 100 movers: TUI travels higher on Thomas Cook demise; M&S drops
London's FTSE 100 was down 0.3% at 7,324.79 in afternoon trade on Monday.
High Street retailer Marks and Spencer was in the red as it said chief financial officer Humphrey Singer had decided to leave the company. No departure date had been set and Singer would work with chief executive Steve Rowe to ensure an orderly transition, the company said in a statement.
Russ Mould, investment director at AJ Bell, said Singer's departure was "the latest red flag from a business struggling to keep itself relevant in the modern retail world".
"Having only joined in 2018, Singer’s exit could suggest there are tensions in the boardroom as the retailer tries to sharpen its proposition," he said.
Holiday firm TUI was sitting pretty at the top of the index as rival Thomas Cook finally went bust after last-minute talks to save the industry giant failed, leaving thousands of holidaymakers stranded around the world and putting 22,000 jobs at risk.
Neil Wilson, chief market analyst at Markets.com, said it was "a great, great pity".
"One wonders how culpable the banks who at the last gap tried to squeeze TC for another £200m are in this collapse. Could the refinancing have worked? We’ll never know for sure. For certain Fosun wasn’t prepared to pay a penny more. There’s plenty of factors in its demise, mainly too much debt. But ultimately the debt was the symptom of the ailment - Thomas Cook failed because it didn’t move with the times.
"The effects will be felt across the sector, not all bad. On The Beach sees a one off hit from helping customers make alternative arrangements and from list margin on cancelled bookings. Meanwhile airlines are firmer today as they should feel the benefit from the abrupt loss of short haul capacity. IAG, Ryanair and EasyJet shares were all trading higher to different degrees."
Precious metals miner Fresnillo shone as gold prices rose.
FTSE 100 - Risers
TUI AG Reg Shs (DI) (TUI) 897.20p 6.73%
Fresnillo (FRES) 736.40p 2.65%
Unilever (ULVR) 4,880.50p 1.78%
Compass Group (CPG) 2,033.00p 1.45%
Relx plc (REL) 1,879.00p 1.16%
Diageo (DGE) 3,258.50p 1.13%
National Grid (NG.) 860.30p 1.03%
GlaxoSmithKline (GSK) 1,688.40p 1.01%
Royal Dutch Shell 'B' (RDSB) 2,355.50p 0.90%
3i Group (III) 1,117.50p 0.68%
FTSE 100 - Fallers
NMC Health (NMC) 2,716.00p -6.67%
Marks & Spencer Group (MKS) 188.00p -4.01%
Smiths Group (SMIN) 1,575.00p -3.85%
Micro Focus International (MCRO) 1,128.40p -3.62%
Glencore (GLEN) 249.20p -2.86%
RSA Insurance Group (RSA) 524.00p -2.78%
Antofagasta (ANTO) 883.80p -2.60%
Taylor Wimpey (TW.) 161.25p -2.60%
Lloyds Banking Group (LLOY) 54.08p -2.58%
Smurfit Kappa Group (SKG) 2,396.00p -2.52%