FTSE 100 drops weighed by Burberry earnings
On Wednesday, British stocks went down, with Burberry Group PLC stocks under pressure right after financial results as EU investors evaluated the prospects for another US rate hike.
The FTSE 100 dived 0.5%, trading at 6,138.58 with just a handful of stocks heading up. On Tuesday, the index managed to gain 0.3%, thus marking the third consecutive revenue.
The broader European equity market slumped too, following Tuesday’s tumble in American stocks after two Fed officials told the US major bank could increase interest rates already in June.
Mining shares found themselves among Wednesday’s greatest decliners, including Anglo American PLC with its 4.1% sag and Glencore PLC, dropping 2.1%.
Natural resources shares would suffer off the back of a rate increase because this wouldn’t only strengthen the greenback, but also raise borrowing costs for most emerging markets.
As for movers, during London trade, Burberry stocks dipped 2.3% because the luxury-fashion house reported a 8% sag in yearly revenue.