Fri close: Oil slip leaves majors down
Lower oil prices hit energy stocks and dragged the blue-chip FTSE100 index down 0.9% to close at 6,784.92 points, slightly outperforming euro zone indexes which continued to fret over the unresolved Greek debt situation.
Oil majors plunged by more than 2% after the world’s top crude exporter Saudi Arabia said it was ready to raise output further if needed, potentially adding to oversupply. Brent crude settled at $64.34 a barrel.
Royal Mail added 2.8% to 507p, partly reversing the previous session’s fall of 4.5% which followed the government’s share sale.
Greece’s stalled debt talks continue to plague markets. A government official in Athens said Greece is ready to submit counter-proposals to bridge differences with its creditors and will restart negotiations in Brussels on Saturday.
BT Group also ticked up despite regulator Ofcom proposing controls on the wholesale prices it charges for products using leased telecoms lines, which provide high-speed links for businesses and providers of ‘superfast’ broadband and mobile services. The shares closed at 453.50p +1.49%.