London Stocks to Tumble as New Covid-19 Variant Sparks Alarm

London Stocks Seen Opening Sharply Lower as New Covid-19 Variant Sparks Alarm

0748 GMT - The FTSE 100 is expected to open around 197 points lower, according to IG, having closed Thursday at 7310.37 as news of a new, fast-spreading Covid-19 variant which may evade immunity sparks alarm and causes investors to flee risky assets. "Global risk sentiment was hit overnight by rising fears of a new possibly highly transmittable COVID-19 variant/mutation called B.1.1.529 that has been observed in South Africa," Danske Bank says. The World Health Organization will hold a meeting on the variant on Friday. Meanwhile, some stocks may be hurt by news that U.K. car manufacturing fell 41% in October--its worst for the month since 1956--as global chip shortages hurt production, according to the Society of Motor Manufacturers and Traders. ([e-mail])

 
Companies News: 

Blue Prism Agrees to Increased GBP1.22 Bln Takeover by Vista Funds

Blue Prism Group PLC said late Thursday that it has agreed to and recommended an increased 1.22 billion-pound ($1.63 billion) final offer from Bali Bidco Ltd., a company indirectly owned by the Vista Funds.

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Diageo Starts Next Tranche of Return to Capital Program

Diageo PLC said Friday that that it has started the next tranche of its return of capital program of up to 4.5 billion pounds ($5.99 billion) to shareholders by the end of June 2024.

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ScS Group Two-Year 16 Week Comparable Orders Were Up 0.9%

ScS Group PLC said Friday that two-year like-for-like order growth for the 16 weeks ended Nov. 20 was 0.9%, but that it has experienced a fall in store footfall and subsequent sales over the past seven weeks with customers spending less on big ticket items.

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Kitwave Group Performs Ahead of Views in 2H; Appoints COO

Kitwave Group PLC said Friday that it performed ahead of revenue expectations in the second half of fiscal 2021 and that this has led to its operating profit being significantly ahead of views.

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Essentra's CFO to Leave by End 1H 2022

Essentra PLC said Friday that Chief Financial Officer Lily Liu is leaving the company to take up a new role at Synthomer PLC.

 
Market Talk: 

Rio Tinto Reckons Iron-Ore Prices May Soften, But Sees Demand Firm

2248 GMT - Rio Tinto reckons there will be some softness in iron-ore prices following the Beijing Winter Olympics and Chinese New Year, but that underlying demand for the steel ingredient remains reasonably robust. That is Macquarie's takeaway from a sell-side roundtable with the miner's iron-ore boss, Simon Trott. "He [Trott] believed the Chinese government would try to avoid a hard landing," Macquarie says. The bank notes iron ore's "losing streak" appears to have ended, with prices bouncing back above $100 a ton. The spot price slipped 3.2% Thursday to $100.10/ton, according to S&P Global Platts. ([e-mail]; @RhiannonHoyle)

Contact: London NewsPlus, Dow Jones Newswires; Dow Jones Newswires; [e-mail]

(END) Dow Jones Newswires

November 26, 2021 03:07 ET (08:07 GMT)

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