U.K.’s FTSE 100 Falls as Pound Boost Wears Off; EasyJet Slidesby
U.K. stocks fell, moving in sync with the pound for the first time in almost two weeks, as concerns about Brexit intensified.
The slide in sterling since the June referendum inflated foreign-currency costs at EasyJet Plc, which slid 6.9 percent on Thursday after posting its first annual profit drop since 2009. Peers Ryanair Holdings Plc and IAG SA fell more than 1.1 percent. Mining shares also declined, with precious-metal producers Fresnillo Plc and Randgold Resources Ltd. down at least 2.2 percent.
The FTSE 100 Index lost 0.5 percent at the close in London, even as the pound slid to a 31-year low. The benchmark, whose exporters had rallied as the currency weakened in the aftermath of the Brexit vote, surpassed its 2015 record close in intraday trading on Tuesday amid updates about the timing and details of U.K.’s withdrawal from the European Union.
The FTSE 250 Index of mid-caps declined 0.5 percent today, after reaching an all-time high on Tuesday.