London open: Stocks dip as investors wait on European inflation numbers

Stocks in London were trading slightly lower on Thursday morning as they waited on the latest inflation data from across the Channel.

As of 0932 BST, the FTSE 100 was drifting down by 0.15% to 7,489.14, alongside a 0.51% dip on the second-tier index to 18,328.06.

Financial markets' attention was expected to be on a preliminary reading for German consumer prices in June due out at 1300 BST.

Ahead of that, it was reported that the annual rate of Spanish consumer prices fell below 2% in June - for the first time in two years.

That chimed with a drop in Italy's cost of living rpeorted during the previous session.

As Michael Hewson, chief market analyst at CMC Markets UK put it: "There is the hope that upcoming data could prompt a softening of [central banks'] hawkish [messaging] starting today with the latest June inflation numbers from Germany."

On home shores, the Bank of England said that Britons' net borrowing slowed from £1.5bn in April to £1.1bn in May (consensus: £1.5bn).

In the background, the Riksbank went ahead and announced a 25 basis point hike in interest rates to 3.75%, as expected.

At 1000 BST the European Commission was due to release surveys on industrial and economic confidence for the euro area covering the month of June.

Stateside meanwhile, the key release of the session would be the Department of Labor's weekly unemployment claims figures at 1330 BST.

Companies' latest updates please

B&M European Value Retail reported a 13.5% rise in group first quarter revenue, in line with expectations, as consumers sought lower prices amid the cost of living crisis. Like-for-like sales in the UK were up 9.2% as both grocery and general merchandise categories performed “very well, driven by consistently strong and positive LFL transaction numbers”, the company said in a trading statement on Thursday.

UK insurer Direct Line said rectifying unfair motor claim payments over a five-year period to 2022 would not have a "material financial impact" on this year's results. The company was on Wednesday ordered by Britain's Financial Conduct Authority to carry out a review of total losses where vehicles had been written off after it admitted it had underpaid some car and van insurance customers.

Market Movers

FTSE 100 (UKX) 7,494.68 -0.08%
FTSE 250 (MCX) 18,328.90 -0.46%
techMARK (TASX) 4,465.79 -0.19%

FTSE 100 - Risers

Abrdn (ABDN) 217.50p 1.30%
Barclays (BARC) 150.18p 1.24%
Rightmove (RMV) 521.80p 1.12%
Melrose Industries (MRO) 504.80p 0.98%
Informa (INF) 729.40p 0.97%
Ocado Group (OCDO) 534.80p 0.94%
Next (NXT) 6,902.00p 0.82%
NATWEST GROUP (NWG) 235.30p 0.56%
JD Sports Fashion (JD.) 144.80p 0.45%
Smith (DS) (SMDS) 269.40p 0.45%

FTSE 100 - Fallers

B&M European Value Retail S.A. (DI) (BME) 554.40p -6.13%
Rolls-Royce Holdings (RR.) 152.30p -2.25%
Burberry Group (BRBY) 2,091.00p -2.20%
Severn Trent (SVT) 2,636.00p -1.90%
Airtel Africa (AAF) 109.40p -1.62%
Persimmon (PSN) 1,025.00p -1.54%
Centrica (CNA) 119.10p -1.45%
United Utilities Group (UU.) 990.00p -1.44%
BT Group (BT.A) 122.35p -1.21%
Croda International (CRDA) 5,508.00p -1.04%

FTSE 250 - Risers

Serco Group (SRP) 157.60p 10.75%
Morgan Sindall Group (MGNS) 1,790.00p 2.87%
JTC (JTC) 729.50p 2.75%
Aston Martin Lagonda Global Holdings (AML) 341.40p 2.03%
3i Infrastructure (3IN) 308.00p 1.82%
Octopus Renewables Infrastructure Trust (ORIT) 93.90p 1.29%
Lancashire Holdings Limited (LRE) 583.50p 1.21%
Drax Group (DRX) 562.60p 1.04%
Mitie Group (MTO) 98.10p 0.93%
Mitchells & Butlers (MAB) 207.60p 0.87%

FTSE 250 - Fallers

Liontrust Asset Management (LIO) 723.50p -6.83%
Urban Logistics Reit (SHED) 114.20p -5.78%
TR Property Inv Trust (TRY) 264.50p -4.68%
Petershill Partners (PHLL) 160.00p -4.08%
Bank of Georgia Group (BGEO) 3,025.00p -3.97%
Ferrexpo (FXPO) 92.10p -3.00%
IWG (IWG) 136.20p -2.71%
Synthomer (SYNT) 73.90p -2.57%
International Public Partnerships Ltd. (INPP) 130.80p -2.53%
Caledonia Investments (CLDN) 3,205.00p -2.44%