U.K. Stocks Slide to 2-Month Low Even as Miners Rebound Further

BOE Maintains Rate at 0.5% on Subdued Inflation
  • Old Mutual slides as South Africa's rand declines for 6th day
  • Glencore jumps after expanding debt-reduction program

More gains for mining shares couldn’t help halt a sixth day of losses for the U.K.’s FTSE 100 Index.

Old Mutual Plc, which gets 71 percent of revenue from southern Africa, slid 11 percent as the rand plunged after the country’s president fired the finance minister. Glencore Plc jumped 7 percent after expanding its debt-reduction plan, leading gains in commodity producers.

The FTSE 100 slipped 0.6 percent at the close in London, its lowest level since Oct. 1. The benchmark gauge has declined 4.2 percent this month amid a rout in commodity producers, putting it on course for the worst year since 2008. The broader FTSE All-Share Index lost 0.6 percent, while Ireland’s ISEQ Index declined 0.2 percent.

Among other stocks active on corporate news, Sports Direct International Plc tumbled 11 percent after sales growth stagnated, raising concern its own brands are losing out to competition. British American Tobacco Plc dropped 1.2 percent after Goldman Sachs Group Inc. advised selling it, citing unfavorable packaging regulation.

The Bank of England kept its key interest rate unchanged at a record low today. Officials said low oil prices and subdued wage growth will keep a lid on inflation.

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