The FTSE 100 declined 0.7% to 6,789 due to notable declines in banks and oil producers, which offset positive returns from miners and utilities.
Royal Bank of Scotland (RBS) was 2.6% lower while Lloyds (LLOY) slid 2%. Oil producers struggled amid signs an OPEC deal to freeze production may fall apart ahead of Wednesday’s key summit.
West Texas Intermediate (WTI) and Brent crude oil slipped 0.7% to $45.70 and $46.91 per barrel, respectively.
A 1% rise in the gold price to $1,190 per ounce put a spotlight on the gold mining sector. Fresnillo (FRES), Polymetal (POLY), Centamin (CEY) and Randgold Resources (RRS) gained up to 1.7% as a result of the rally.
Copper rallied 2% to $5,996 per tonne,
FTSE 250 RISERS AND FALLERS
Aberdeen Asset Management (ADN) slid 2.5% to 278.8p as full year results were ahead of expectations, despite reporting a 39% decline in pre-tax profit to £352.7m. Pre-tax profit and earnings per share beat consensus forecasts by 7%, which was aided by currency benefits.
SMALL CAP RISERS AND FALLERS
Aerial platform group Lavendon (LVD) was in demand following a rival takeover approach after interest from TVH last week. European group Loxam made a possible cash offer but price details were not announced.
Mining investor Metal Tiger (MTR) rejected a takeover approach from metals miner BMR (BMR).
Haydale Graphene Industries (HAYD) secured a long-awaited supply agreement with $4.59bn Araldite maker Huntsman Advanced Materials, sending its shares up 3.6% to 185.5p. The latter would get the exclusive worldwide rights to market, distribute and sell various resins enhanced using Haydale’s process.
Miner Berkeley Energia (BKY) benefitted from a new offtake agreement with Interalloys for the sale of uranium produced from its Salamanca mine in Spain. The deal included an average price of $43.78 per pound which is more than double the current spot market price of $18 per pound.
Software group Cerillion (CER) won a $2.8m contract from an existing customer in the Americas region, but shares were broadly flat at 127p.
Kainos (KNOS) fell 7.2% as it reported no growth in adjusted earnings per share at 4.8p. The company insisted it saw increasing levels of demand for its digital services and platforms.
Mongolian property developer Asia Pacific Investment Partners said it will float on AIM in December.
JD Sports Fashion (JD.) bought camping equipment-to-bikes retailer Go Outdoors for £112.3m to enhance the group’s outdoors business, including Blacks and Millets.
Dunelm (DNLM) said it would pay £8.5m for assets from WS Group including members-only online furniture store Achica. The deal also included Kiddicare, which was sold by WM Morrison Supermarkets (MRW) to private equity firm Endless, and subsequently flipped to WS-owned Worldstores.
Trakm8 (TRAK) went off track following a 77% decline in pre-tax profit to £282,000 for the six months to 30 September. It warned that exchange rate movements would push up costs. There was uncertainty over the full year outcome due to the timing and quantum of contract opportunities. The stock crashed 28.6% to 132p.
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