Wall Street was shaken when a technical glitch appeared to send shares of some of America’s largest companies tumbling about 99 percent.
In a dramatic session, the New York Stock Exchange said it was investigating a glitch that caused trading at least 60 companies to halt.
Among them were Berkshire Hathaway – Warren Buffett’s giant conglomerate –, the Chipotle restaurant chain and the Barrick Gold mining group.
At one point Berkshire Hathaway shares were shown to have fallen 99.9 percent.
The issue was later resolved and trading resumed normally and stock prices returned to previous levels.
Computer glitch: In a dramatic session, the New York Stock Exchange said it was investigating a glitch that caused trading to halt at least 60 companies.
It was a completely quieter session in London despite another wave of procurement activity and a 3 percent drop in the oil price below $80 a barrel.
The FTSE 100 lost 0.2 per cent, or 12.63 points, to 8,262.75 and the FTSE 250 rose 0.8 per cent, or 170.37 points, to 20,900.49.
It came as the acquisition frenzy that gripped the City showed few signs of slowing down.
In a statement to investors, Brookfield Asset Management said it is in the “early stages of evaluating a potential cash offer” for distribution center investor Tritax Eurobox.
Shares in the London-listed company, which has distribution centers in Spain, Italy, Germany, Sweden and the Netherlands, soared 11.3 per cent, or 6.1 pence, to 59.9 pence.
At the same time, advertising agency Brave Bison outlined a sweeter proposal for its rival Mission Group.
After seeing its offer of £27m or 29p per share rejected in early May, the suitor returned with an improved offer of £32.3m or 35.1p.
Stock Watch – Marlowe
Marlowe, whose main shareholder is former Conservative treasurer Lord Ashcroft, will pay a special dividend of £150m next month.
The AIM-listed compliance services firm completed the sale of some assets within its Governance, Risk and Compliance (GRC) division to private equity firm Inflexion for £430m at the end of May.
Marlowe will pay the special dividend on July 5 and then launch a £75m share buyback.
The shares rose 5p, or 28p, to 586p.
Brave Bison was steady at 2.45p and Mission Group shares rose 3.4 per cent, or 0.8p, to 24.5p.
Pets at Home rose 8.9 per cent, or 26.4 pence, to 322.6 pence after Liberum analysts said the time was right to “come out of the gate” and encourage its customers to buy its actions once again. The brokerage placed a “hold” rating on the stock in January last year.
Liberum gave five reasons why Pets should be optimistic about the future, including its new digital platform and reducing inflation.
Liberum warned there could be a “small impact” from the investigation the Competition and Markets Authority (CMA) announced into the veterinary sector last month amid concerns about rising bills.
Pets at Home insisted last week that its vet growth strategy is “not threatened” by the review.
JD Sports moved ahead after one of its investors increased its stake.
Fidelity increased its stake in the self-proclaimed “King of Sneakers” from 4.93 percent to 5.25 percent, according to the latest stock report.
And a bullish note from Bank of America provided another boost to the retailer. Last week, JD posted lower annual profits as it lamented “a very challenging market.”
The shares fell 5 per cent after Friday’s update, but soared 5.1 per cent, or 6.45 pence, to 133.95 pence yesterday.
AstraZeneca’s Tagrisso drug, used alongside chemotherapy, has been recommended in the European Union to treat adult patients with an aggressive form of lung cancer. The shares rose 1.3 per cent, or 156 pence, to 12,346 pence.
