LONDON MARKETS: FTSE 100 Seesaws, With Miners Under Pressure After Holiday

By Carla Mozee, MarketWatch

Bunzl raises dividend payment

Stocks in the U.K. wobbled Tuesday, with mining shares struggling at the start of the holiday-shortened week.

The FTSE 100 was up less than 0.1% at 6,841.98 after opening with a minor loss. Trading was closed Monday for the late August bank holiday.

The index on Friday closed 0.3% higher (http://www.marketwatch.com/story/ftse-100-slips-but-miners-find-relief-after-selloff-2016-08-26) after Federal Reserve Chairwoman Janet Yellen indicated the U.S. economy looks ready to withstand another interest rate increase.

But mining shares on Monday were knocked lower. The fall came after a rough week for the sector last week, driven by a decline for Glencore PLC (GLEN.LN) posted a $369 million half-year net loss (http://www.marketwatch.com/story/glencore-steps-up-debt-cuts-as-it-swings-to-loss-2016-08-24). Glencore shares were down 3.1% on Tuesday.

Jefferies in a note released Tuesday said Glencore's commodity exposure is a positive, but its costs are likely to creep higher. "As a result of increases to our unit cost assumptions, we have lowered our earnings estimates for the company," wrote analyst Christopher LaFemina.

Shares of copper producer Antofagasta PLC (ANTO.LN) dropped 4.1%, and those of iron ore miner Rio Tinto PLC (RIO) (RIO) (RIO) lost 3.7%.

Advancers on the London benchmark included Bunzl PLC (BZLFY) . Shares rose 1.5% after the maker of coffee cups and mops raised its interim dividend payment (http://www.marketwatch.com/story/bunzl-reports-rise-in-first-half-profit-2016-08-30) and posted a 6% rise in first half pretax profit of GBP155.6 million ($203.88 million).

The pound was trading at $1.3088, down from $1.3113 late Monday.

(END) Dow Jones Newswires

August 30, 2016 04:05 ET (08:05 GMT)

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