FTSE 100 watch: Footsie slips as investors mull over corporate earnings

Written by: Alice Young
March 11, 2020

Britain’s blue-chip index has fallen into the red in today’s session, dragged lower by heavyweight HSBC Holdings (LON:HSBA), whose full-year results disappointed investors. Shares in BHP Group (LON:BHP) are also underperforming the FTSE 100 index as the Anglo-Australian miner flagged flat full-year productivity, pressured by several outages.

HSBC weighs on FTSE 100

As of 12:40 GMT, the Footsie had shed 44.17 points to stand 0.61 percent lower at 7,175.30. Sentiment has been subdued with investors eyeing the latest round of trade negotiations between the US and China. A fall in HSBC is also weighing on the blue-chip index after Europe’s biggest bank’s full-year profit fell short of analyst estimates.

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Reuters quoted Markets.com analyst Neil Wilson as commenting that the lender’s focus on China and Asia was a ‘double-edged sword’. The lender’s shares are changing hands 4.20 percent lower at 635.80p.

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Other individual movers

BHP is also underperforming the broader market after reporting that it expects its productivity guidance to be broadly flat for the 2019 financial year largely reflecting the unplanned production outages at Olympic Dam, Western Australia Iron Ore, Spence and Nickel West. BHP’s share price is currently 0.84 percent worse off at 1,784.40p.

Shares in Holiday Inn and Crowne Plaza owner InterContinental Hotels Group (LON:IHG) meanwhile have been volatile, even as the company reported higher full-year revenue as it saw strong performance in China, and said that it would return $500 million to shareholders via a special dividend. Shares in the blue-chip hotels group are down 0.31 percent at 4,614.50p, having traded more than one percent higher earlier in the session.

The FTSE 100 was 0.73 percent down at 7,167.04 points as of 13:04 GMT on Tuesday, 19 February 2019.