Unilever and China weigh on FTSE but Randgold shines – London Report
BRITAIN’S top share index was dragged lower yesterday by Unilever and mining companies after the fall in the value of China’s currency pulled down metal prices.
The blue chip FTSE 100 index was down 1.4 per cent at 6,571.19p by the close, slightly outperforming other European equities.
Consumer goods company Unilever shed 4.3 per cent after Goldman Sachs cut it to “sell” from “neutral”, saying the downgrade was prompted by the rise of e-commerce and slowdown in emerging markets.
China, the world’s second-largest economy and biggest metals consumer, devalued the yuan on Tuesday and let it weaken further yesterday after a run of poor economic data.
Glencore declined the most, dropping 5.7 per cent.
Randgold added 5.4 per cent, one of the few risers on FTSE, as the devaluation of the yuan supported gold prices.
In the mid-caps, Zoopla climbed 4.7 per cent after it said it was winning back agents after months of losing listings to rivals. It says it expects the number of branches using the site to grow further.