FTSE at one-month low after Trump ban spooks investors

Trump’s immigration ban on seven Muslim-majority countries continued to drag on stock markets worldwide as it drew widespread condemnation, including from Goldman Sachs.

Investors were concerned about rising uncertainty and whether Trump’s policies will protect the US economy.

The FTSE was at a one-month low of 7,118 with both US indices falling by 1%.

High street banks Barclays (BARC) and Royal Bank of Scotland (RBS) struggled ahead of the Bank of England’s interest rate decision on Thursday. Both declined by at least 2.7%.

Oil giants BP (BP.) and Royal Dutch Shell (RDSB) also pulled the index lower as they fell by approximately 2% on weaker oil prices.

West Texas Intermediate and Brent crude oil fell to $52.71 and $55.33 per barrel, respectively.

Gold gained 0.7% to $1,196 per ounce and copper slipped 1.7% to $5,820 per tonne.

In Asia, only Shanghai’s index, the SSE Composite, closed higher, while the Hang Seng and Nikkei 225 both fell.

FTSE 100 RISERS AND FALLERS

Telecommunications group Vodafone (VOD) confirmed discussions regarding a potential all-share merger of its Indian business with Idea Cellular.

The company said it is struggling in India due to a price war after new market entrant Jio offered free calls and data to grab market share.

Shares in gold miner Randgold Resources (RRS) nudged lower as negotiations were underway to resolve an illegal sit-in, which started at the Tongon mine in Cote d’Ivoire late on 26 January.

It also said it expects its Loulo-Gounkoto gold mining complex in Mali will report a new production record for its fourth quarter of 2016.

FTSE 250 RISERS AND FALLERS

According to media speculation, WS Atkins (ATK) may be merging with engineering consultancy CH2M, which would nearly double the size of the existing business.

SMALL CAP RISERS AND FALLERS

Miner Premier African Minerals (PREM) raised approximately £1m to finish constructing the RHA Tungsten Mine.

Torotrak (TRK) decided to focus on its energy recovery systems and suspended the development of its V-Charge supercharger product. This news alarmed investors and wiped out nearly half of its value as shares plummeted to 1p.

Tungsten explorer Kemin Resources (KEM) was one of the biggest small cap fallers after it stopped work on both of its licenses until the Kazakhstan authorities provided approval.

Attraqt (ATQT) announced it would buy Fredhopper from SDL (SDL) for £25m cash, a cloud-based provider of onsite search, navigation and visual merchandising solutions.

Rainbow Rare Earths (RBW) rose 20% to 12p on its first day on the stock market. It was built by Pella Resources which has associations with Petra Diamonds (PDL) and Tharisa (THS). Rainbow said it has a near-term producing asset in Burundi and plans to pay dividends in the medium term.

Chinese door maker Jiasen (JSI) decided to switch its stock market listing from AIM to NEX Exchange, the new name for the ISDX market. Investors were unhappy, causing the stock to plummet 25% to 3.7p. There is a perception that it is harder to buy and sell shares on NEX.

Story provided by StockMarketWire.com