FTSE 100 movers: EasyJet flies higher but Lloyds drops on job cuts

London’s FTSE 100 was down 0.5% to 7,037.99 in afternoon trade.

EasyJet flew higher after the budget airline priced the issue of €500m bonds maturing in October 2023 at a coupon of 1.125%. Cantor Fitzgerald said the low coupon rate was attractive.

“To us this suggests market confidence in its budget airline business model and balance sheet,” the brokerage said.

News from Monarch also helped to boost sentiment towards the sector, after it announced a £165m investment from its majority shareholder Greybull Capital.

The airline, which had until the end of the day on Wednesday to prove to the Civil Aviation Authority that it had sufficient funds to stay afloat, said the investment has enabled it to successfully renew its ATOL licences for the next 12 months and fund future growth plans.

British Airways and Iberia parent International Consolidated Airlines Group also gained ground on Wednesday.

On the downside, Lloyds Banking Group declined after confirming plans to axe 1,230 jobs as it looks to cut costs and improve shareholder returns as part of its three-year strategy.

The bank said it is cutting jobs in group operations, and the retail, marketing and finance divisions.

Peers RBS and Standard Chartered were also in the red.

Risers

Glencore (GLEN) 230.35p 3.81%
Capita (CPI) 599.00p 2.57%
Direct Line Insurance Group (DLG) 355.60p 1.31%
International Consolidated Airlines Group SA (CDI) (IAG) 380.70p 1.22%
Standard Life (SL.) 350.10p 1.21%
Centrica (CNA) 214.60p 1.13%
Prudential (PRU) 1,454.00p 1.11%
easyJet (EZJ) 910.50p 1.11%
Legal & General Group (LGEN) 216.70p 0.93%
Rio Tinto (RIO) 2,703.50p 0.90%

Fallers

Whitbread (WTB) 3,800.00p -2.24%
Royal Bank of Scotland Group (RBS) 177.80p -1.77%
Lloyds Banking Group (LLOY) 52.77p -1.62%
Standard Chartered (STAN) 658.90p -1.47%
Smith & Nephew (SN.) 1,226.00p -1.45%
Carnival (CCL) 3,763.00p -1.41%
CRH (CRH) 2,655.00p -1.41%
Dixons Carphone (DC.) 337.20p -1.40%
Old Mutual (OML) 195.00p -1.37%
Smiths Group (SMIN) 1,490.00p -1.32%