The UK benchmark index has fallen into the red in today’s session, pressured by the ongoing trade concerns which have been weighing on market sentiment around the world. Housebuilders, however, are lending some support to the FTSE 100, following updates by Berkeley Group (LON:BKG) and Barratt Developments (LON:BDEV).
FTSE 100 falls lower
As of 12:34 BST, the Footsie had given up 28.93 points to stand 0.39 percent lower at 7,428.93, following downbeat leads from the US and Asia where shares were down on the back of the US’ strained trade relations with Canada and China.
“Emerging markets have been particularly weak and a lack of progress regarding international trade talks continues to unsettle investors,” Russ Mould, investment director at AJ Bell, said, as quoted by Reuters.
Chris Beauchamp at IG meanwhile said in a note that further declines in the FTSE 100 through the index’s Friday low of 7,418 points would then bring the 7,340-point level into play, while a close above 7,500 points “would suggest a near-term bottom has arrived”.
Housebuilders gain ground
In individual stock news, shares in Berkeley Group have been in demand today after the blue-chip housebuilder updated investors on its recent performance, reaffirming its guidance to deliver at least £3.38 billion of pre-tax profits for the five year period from 1 May 2016 to 30 April 2021, with at least £1.58 billion pre-tax profit to be delivered in the two years ending 30 April 2019. Berkeley’s share price currently stands 1.03 percent higher at 3,546.00p.
FTSE 100 peer Barratt Developments (LON:BDEV) is also outperforming the broader market after reporting that its profit had climbed 12 months ended June 30, while the company saw its highest volumes in a decade. The group’s shares are changing hands 0.11 percent higher at 536.20p.
The FTSE 100 was 0.40 percent down at 7,428.00 points as of 12:46 BST on Wednesday, 05 September 2018.