Home news FTSE 100 recovers as sterling slips

FTSE 100 recovers as sterling slips


UK shares reversed early losses to head higher as the pound lost ground against other currencies.North Korea’s threat to test a hydrogen bomb over the Pacific had hit stocks in early trade, but the FTSE 100 then recovered to stand 19.55 points higher at 7,283.45 by midday.The pound slipped 0.2% against the dollar to $1.3558, and fell 0.4% against the euro to 1.1327 euros.Markets are waiting for Theresa May’s speech in Florence later.The UK prime minister is expected to set out plans for a transition period after Brexit. Mrs May is also expected to tell EU leaders there is a shared responsibility to make Brexit work “smoothly” as she attempts to break the deadlock in negotiations.Among the main share movers, Smiths Group dropped 4.5% despite the conglomerate reporting a 17% rise in profit to £528m for the year to 31 July.Analysts focused on Smiths’ slight dip in underlying revenues, with Morgan Stanley describing it as “disappointing”.After jumping more than 14% on Thursday, shares in Johnson Matthey continued to rise, climbing a further 2.7%. Investors had cheered the company confirming its full-year sales guidance and the announcement of a £200m fund to invest in developing battery materials so it can benefit from the growth in electric cars.
Source: BBC