Last checked at (Sharecast News) - BT Group topped gainers on the top-flight index after the Chancellor confirmed plans to invest ?5bn on rolling out full-fibre broadband across Britain - a major plank of the Conservative election manifesto.
The measure will see gigabit-capable broadband access deployed across the 20% hardest-to-reach parts of the country, to the benefit of an estimated 5m homes.
Shares of digital grocer Ocado were also moving higher amid the ongoing coronavirus scare, alongside those of Morrisons.
Firms with Asia exposure including Schroders and HSBC were also finding a bid, after the World Health Organisation reported a further dip in new confirmed coronavirus cases China in its 50th update on the outbreak to just 20.
Lenders also reacted positively to the Financial Policy Committee's decision to lower its requirement for their counter-cyclical buffer from 2.0% to 0%, which was expected to support as much as ?190bn of bank lending to businesses.
Defensive issues were also wanted, with the likes of GlaxoSmithKline, SSE, Reckitt Benckiser, Unilever and AstraZeneca all higher.
Aveva was the top faller.
In a research note sent to clients, analysts at JP Morgan said that stocks in the European software and IT services space were already discounting their "medium" scenario for the COVID-19 coronavirus for 2-4% revenue declines and 3-7% hits to earnings in 2020.
However, their worst case scenario - even if unlikely - was for a 35% drop in earnings per share, which would be near 2008-2009 recession levels.
Travel-related stocks were also down sharply, with easyJet and IAG pacing losses.
According to JP Morgan, based on the latest IATA forecast for a 6-10% fall in global air traffic in 2020, versus declines of 2.6%, 2.9% and 1.1% in 1991, 2001 and 2009, respectively, the impact of COVID-19 on traffic could be similar to - but not worse than - 9/11.
"[...] All airlines will seek to preserve cash and many weaker airlines are likely to go bankrupt."
Market Movers
FTSE 100 (UKX) 5,920.10 -0.67%
FTSE 100 - Risers
BT Group (BT.A) 123.88p 3.63%
Schroders (SDR) 2,410.00p 2.08%
Ocado Group (OCDO) 1,098.00p 1.90%
Hikma Pharmaceuticals (HIK) 1,853.50p 1.90%
Legal & General Group (LGEN) 224.80p 1.81%
SEGRO (SGRO) 821.60p 1.66%
Morrison (Wm) Supermarkets (MRW) 179.20p 1.53%
Evraz (EVR) 250.40p 1.46%
RSA Insurance Group (RSA) 482.80p 1.41%
British American Tobacco (BATS) 2,927.00p 1.32%
FTSE 100 - Fallers
Aveva Group (AVV) 3,408.00p -7.99%
easyJet (EZJ) 938.40p -6.25%
Informa (INF) 563.60p -6.07%
Coca-Cola HBC AG (CDI) (CCH) 2,044.00p -5.50%
Smiths Group (SMIN) 1,187.50p -5.11%
Burberry Group (BRBY) 1,447.50p -4.80%
International Consolidated Airlines Group SA (CDI) (IAG) 400.00p -4.72%
WPP (WPP) 651.20p -4.15%
Kingfisher (KGF) 162.80p -4.04%
JD Sports Fashion (JD.) 612.80p -4.01%
24 May 2023 11:22
UK's Ofcom allows Openreach to cut prices
(Sharecast News) - Britain's telecoms regulator has allowed BT to cut wholesale prices at its Openreach networking arm, despite claims from competitors that it would give the company an unfair advantage.
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