U.K. Stocks Slide Most in 3 Weeks as Lloyds Sinks on Earningsby
British equities declined amid a drop in European markets, with Lloyds Banking Group Plc falling the most among FTSE 100 Index companies.
Shares of the bank tumbled 5.8 percent as it as it reported a decline in pretax profit excluding one-time items and warned the vote to leave the European Union will hurt its ability to boost dividends. Royal Dutch Shell Plc fell 3.7 percent after reporting the lowest quarterly earnings in 11 years, missing estimates. Smith & Nephew Plc slid 5.6 percent as it said trading profit was hit by currency fluctuations. SABMiller Plc lost 1.3 percent after suspending work on integrating the brewer’s operations with that of suitor Anheuser-Busch InBev NV.
The FTSE 100 slipped 0.4 percent at the close of trading, slipping from its highest level since August. The FTSE 250 Index of mid-cap companies erased earlier gains that took it above its level from before the Brexit vote. It was down 0.1 percent by the end of the day.
Among stocks advancing:
* Anglo American Plc rose 5.4 percent after posting sales and profit that topped projections.
* Rolls-Royce Holdings Plc surged 14 percent after reporting a first-half profit that beat estimates and saying it’s on course to deliver a stronger second half.
* BT Group Plc climbed 3.1 percent after saying revenue rose on broadband demand. U.K.
* Thomas Cook Group Plc rallied 8.8 percent as its earnings forecast was in line with analyst estimates.
* Sports Direct International Plc jumped 9.2 percent after announcing a share buyback.
Ireland’s ISEQ Index erased its gain to close 0.2 percent lower, and the regional Stoxx Europe 600 Index fell 1 percent.