U.K. Stocks Drop Before GDP Report; ARM Holdings Falls
U.K. stocks retreated for the third time this week as mining companies declined and as investors awaited data on Britain’s economic growth in the second quarter.
ARM Holdings Plc (ARM) tumbled 5.2 percent for the worst performance on the benchmark gauge after Sanford C. Bernstein Ltd. said its valuation may drop in the second half. BHP Billiton Ltd. (BHP) and Rio Tinto Group each fell at least 1.3 percent as copper prices fell for the first time in six days. Rolls-Royce Holdings Plc (RR/) climbed 3.5 percent as the commercial-aircraft engine maker said first-half profit jumped 34 percent.
The FTSE 100 Index (UKX) lost 18.83 points, or 0.3 percent, to 6,601.6 at 8:59 a.m. in London. The equity benchmark has still climbed 9.5 percent from a low on June 24 as central banks around the world pledged to continue stimulus measures. The FTSE All-Share Index also slid 0.3 percent today, while Ireland’s ISEQ Index gained 0.3 percent.
The U.K.’s gross domestic product rose 0.6 percent in the three months through June, economists forecast in a Bloomberg survey before the Office for National Statistics publishes the data at 9:30 a.m. That would mark the first back-to-back quarterly growth since September 2011.
Today’s report is a first estimate and is usually based on about 44 percent of total data. The economy expanded 0.3 percent in the first quarter.
The volume of shares changing hands in FTSE 100 companies today was 32 percent lower than the 30-day average, data compiled by Bloomberg show.
Capita Plc (CPI), which supplies services to the British army, slipped 2.7 percent after reporting a decline in first-half operating-profit margin.
Unilever lost 1.5 percent after posting quarterly sales that missed estimates.
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