NatWest trails on FTSE 100 as stocks run out
London markets drifted as a lackluster NatWest update disappointed the market after rival banks’ strong performance in recent days.
Commodities stocks also saw another below par as the week’s trading slumped.
The FTSE 100 closed 11.9 points, or 0.16%, down to 7,237.57 on Friday.
Michael Hewson, Chief Market Analyst at CMC Markets UK, said: “European markets ended what was a positive month today with the FTSE 100 falling back to the 7,200 level after hitting highs of 20. months earlier this week. ”
NatWest proved to be a major drag on London’s first flight, slipping to the bottom of the index despite beating analysts’ forecasts.
“After seeing decent numbers from Lloyds and Barclays over the past week, expectations were high for NatWest Group’s third quarter numbers, and although they were better than expected, stocks fell sharply in the past. lower from the FTSE 100, ”Hewson said. noted.
“Part of the backlash can be explained by the fact that NatWest stocks have been one of the top 10 performing stocks on the FTSE 100 since the start of the year, and in reality the numbers should have been better.”
NatWest shares were down 10.3p to 221.1p by the end of the game.
Elsewhere in Europe, the other major markets experienced another mixed session to end a turbulent week.
The German Dax fell 0.05%, while the French Cac climbed 0.38%.
Across the Atlantic, US stocks opened lower as they were pulled from record highs by disappointing figures from Amazon and Apple, heightening supply chain concerns .
The pound sterling edged up against the euro, which was hampered by a larger than expected rise in EU CPI inflation.
The pound was down 0.09% against the US dollar at 1.369 and up 0.05% against the euro at 1.185.
In company news, Naked Wines soared on Friday after Light Street Capital founder Glen Kacher described the company as the “Netflix of wines” in a laudatory statement.
The online wine business has skyrocketed after the boss of the hedge fund – which owns nearly 10% of the company – said his shares could quadruple in the next four years. Traders hailed the news and stocks rose 86p to 742p.
Games Workshop had a more disappointing session after Jefferies brokers lowered their price target due to freight and exchange rate issues.
Shares fell from 805p to 9645p after the investment bank slashed its 2022 income estimate by 2%.
The FTSE 250 company Convatec rebounded after the medical supplier revealed that its organic revenue growth was on track to hit the upper limit of its forecast.
The company was 15.9 pence higher at 213.8 pence.
The price of oil spent much of the day lower due to a decline after the dollar rebound at the end of the month, but recovered enough to end flat with Brent crude at $ 84.28 the barrel.
The biggest amounts on the FTSE 100 were ITV, up 3.4p to 107.65p, Darktrace, up 23p to 802p, Glencore, up 5.85p to 365.25p, and Barclays, up 2.97p to 202.25p.
Biggest drops were NatWest, down 10.3p to 221.1p, Smith & Nephew, down 33.5p to 1255p, Polymetal, down 35p to 1355p, and SSE, down 38.5p at 1643.5p.