Commodity stocks, inflation data drag FTSE 100 down | Malay Mail

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LONDON, May 20 ― London's FTSE 100 fell yesterday, dragged down by heavyweight commodity stocks, while a bigger-than-expected jump in inflation stoked fears the central bank may tighten its monetary policy earlier than expected. The blue-chip index fell 1.2 per cent, with miners declining 3.9 per...

The blue-chip index fell 1.2 per cent, with miners declining 3.9 per cent after metal prices slipped. — Reuters file picLONDON, May 20 ― London's FTSE 100 fell yesterday, dragged down by heavyweight commodity stocks, while a bigger-than-expected jump in inflation stoked fears the central bank may tighten its monetary policy earlier than expected.

A jump in regulated electricity and gas bills, and clothing and footwear prices pushed up the inflation reading. Prices charged by manufacturers also rose by 3.9 per cent, while inputs prices increased by 9.9 per cent, the most since February 2017. “You do also want to see the Asian markets pick up too. The problem for UK is Asian markets weigh on commodities. So the rise in Covid-19 cases in Asia is worrying.”

Among individual stocks, Ferguson climbed 2.2 per cent to hit a record high after the plumbing and heating parts distributor reported a 65.4 per cent jump in its third-quarter profit.

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