(For a live blog on European stocks, type LIVE/ in an Eikon
news window)
* British house prices jump at their quickest pace since
June 2016
* Tesco reports higher sales, FY21 outlook optimistic
* Security firm G4S rejects Canadian rival's takeover offer
again
* FTSE 100 down 0.06%, FTSE 250 flat
(Updates to close)
By Shashank Nayar
Oct 7 (Reuters) - London's FTSE 100 closed nearly flat on
Wednesday, weighed down by a fall in energy stocks on lower oil
prices, with investors looking for clues on U.S. stimulus
measures after President Donald Trump called a halt to talks
with Congress on a comprehensive bill.
The blue-chip FTSE 100 index closed down 0.06%, with
energy and insurance stocks leading
declines. The mid-cap index ended flat.
The energy index was one of the biggest drags on the FTSE
100 as oil prices slid nearly 2.5% after U.S. President Donald
Trump on Tuesday called off talks with lawmakers on pandemic
aid, and after a larger-than-forecast rise in U.S. crude stocks.
"There are hopes that the stimulus plans could be revived in
the period between the election and January’s inauguration which
are probably helping investors keep the news in perspective for
now," said Russ Mould, investment director at AJ Bell.
Wall Street's main indexes jumped on Wednesday as investors
grew hopeful of at least a partial deal on more fiscal stimulus,
but top White House officials on Wednesday downplayed the
prospect of either a comprehensive deal or standalone measures.
Construction stocks provided support to the
blue-chip index after a report by mortgage lender Halifax noted
British house prices rose last month at the fastest annual pace
since June 2016.
Britain's trade minister Liz Truss said on Wednesday a deal
with the European Union over the pair's future trading
relationship is "do-able" as the end of a transition period
approaches.
"Investors are on an edge with continuing uncertainty on
Brexit, and have taken the view that they can't place long bets
in this environment," said TS Lombard strategist Andrea Cicione.
Tesco, Britain's biggest retailer by sales, pared
earlier gains and closed 0.7% lower after it reported a jump in
sales due to the COVID-19 pandemic and said it saw its FY21
operating profits being in line with the previous year.
British private security company G4S rose 0.2% after
it once again rejected smaller Canadian rival GardaWorld's offer
and dismissed claims made by the hostile bidders in a pitch to
shareholders as misleading.
(Reporting by Shashank Nayar in Bengaluru; Editing by
Uttaresh.V and Jan Harvey)
