Wed City brief: Tesco drags market lower
The catastrophic loss at Tesco and hawkish comments from the Bank of England combined to push stocks in London lower.
The FTSE 100 finished the session down 0.49% at 7,028.24, pulling back after rising to a high of 7,092.34 early on. The index came close to its intraday high of 7,119.35 reached last week.
Tesco reported the biggest loss in its history and after rising in early trade the shares fell back by 5% at the close, taking the rest of the retail sector down. Sainsbury’s and Morrisons were both nursing losses of around 4% by the end of trading.,
Minutes from the Bank of England‘s meeting earlier this month suggested an interest rate rise was still on the agenda.
Among the risers was engine maker Rolls-Royce after chief executive John Rishton announced he would be retiring this summer. He will be succeeded by former ARM Holdings boss Warren East.