Mining stocks were a drag on the London stock market as weaker metals prices sent producers into the red.
While the FTSE 100 index hit another high and surpassed Monday’s record close, Anglo American fell 2.3 per cent, or 49 pence, to 2,111 pence, Antofagasta fell 2.1 per cent, or 46 pence, to 2,155 pence, Rio Tinto lost 1.3 per cent, or 69 pence, to 5,317 pence and Glencore lost 1.4 per cent, or 6.4 pence, to 468.5 pence.
Losses in blue-chip heavyweights were driven by weaker tin, nickel and copper prices. And the value of gold fell for a second day to around $2,300 an ounce.
The fall affected gold producers listed in London.
Fresnillo fell 1.5 per cent, or 8.5 pence, to 578.5 pence, Endeavor Mining fell 2.3 per cent, or 40 pence, to 1,680 pence, Hochschild Mining lost 1.1 per cent, or 1.6 pence, to 151.4 pence and Centamin fell 1.4 per cent, or 1.7 pence. p, at 124.3p.
Metal prices: FTSE 1000 mining giants Anglo American, Antofagasta, Rio Tinto and Glencore were hit as weaker metal prices sent them into the red.
Ole Hansen, head of commodities strategy at Saxo Bank, said gold’s stellar rally from its mid-February low is under pressure as the yellow metal suffers a “long-awaited and relatively aggressive, but healthy correction.”
But the Ukrainian mining company Ferrexpo was going in the other direction.
The London-listed group posted its best quarterly performance since the Russian invasion more than two years ago.
The company produced more than 2 million tonnes of iron ore pellets and concentrates, as production tripled in the first quarter to the end of March compared to the previous three months.
Ferrexpo resumed exports from Ukrainian Black Sea ports, resulting in increased volumes shipped to Europe, the Middle East, North America and Asia. The shares soared 8.3 per cent, or 4p, to 52.2p.
Stock Watch – GB Group
Shares in fraud prevention specialist GB Group soared after annual profits appeared to have beaten forecasts.
The company said it expects profits to have risen 8 per cent to £61.2 million in the year to the end of March due to cost cutting.
That would be more than analysts expect at the top end of the £58.8m to £61m range.
The company offers data verification services for banks.
The shares, which hit a high of 954p in January 2021, rose 16.3 per cent, or 42.2p, to 301p.
After closing at a record high of 8,023.87 on Monday, the FTSE 100 rose to an intraday high of 8,076.52 yesterday before retreating, although it still gained 0.3 per cent, or 20.94 points, to a record high of 8,076.52. 8,044.81.
The FTSE 250 gained 1 per cent, or 200.33 points, to 19,799.72.
Jupiter Fund Management endured a difficult session after the money manager reported £1.6bn of net outflows in the first quarter.
The company’s assets under management increased to £52.6 billion (up from £52.2 billion) due to positive investment returns. The shares sank 6.4 per cent, or 5.2p, to 75.8p.
The impact of the Hollywood strikes in the United States last year, global economic pressures and a lack of customer purchasing of shares took their toll on Videndum.
The company, which provides LED lights and smartphone accessories to broadcasters, film studios and independent content creators, suffered a loss of £79.7 million last year.
Videndum said trading in the first quarter of 2024 was weaker than expected and warned that the timing of the film and television script market recovery is “uncertain.” The shares sank 2.1 per cent, or 6p, to 278p.
Bargain hunters made a move against Mobico Group, owner of National Express, a day after it posted another hefty loss for the full year.
The shares, which fell 9.8 per cent on Monday, rose 3.1 per cent, or 1.65 pence, to 55.8 pence.
British Airways owner IAG rose 0.4 per cent, or 0.75p, to 175.95p after Deutsche Bank Research raised its rating as corporate travel continues to recover post-Covid.