U.K. Stocks Snap Four-Day Rally as Construction Firms Lead Dropby
Volume lower than average with U.S. markets closed for holiday
Fresnillo leads gains in miners as silver price surges
U.K. stocks fell, after a four-day rally took the benchmark FTSE 100 Index close to a bull market.
Homebuilders and real-estate investment trusts slumped after a report showed British construction in June unexpectedly shrank at the fastest pace since 2009. Persimmon Plc and British Land Co. slid 6.8 percent or more. Clarkson Plc sank 16 percent after the shipping services provider said 2016 profit will be lower than last year. Gains in miners tempered losses in the FTSE 100, with Fresnillo Plc up 7.7 percent after silver rose above $21 for the first time in two years.
The FTSE 100 lost 0.8 percent at the close in London, after earlier rising as much as 0.5 percent. The benchmark climbed for nine of the past 11 sessions, with gains interrupted only by a two-day slide in the immediate aftermath of the U.K.’s shock vote to leave the European Union. With a weaker pound boosting exporters and commodity producers rallying, the gauge rebounded 19 percent from its February low through yesterday.
The volume of FTSE 100 shares changing hands was a third lower than the 30-day average. U.S. markets are closed for the Independence Day holiday. The broader FTSE All-Share Index and Ireland’s ISEQ Index also declined today.