FTSE 100 movers: Frasers rallies; DS Smith hit by downgrade

London’s FTSE 100 was up 0.1% at 8,015.75 on Monday afternoon in quiet trade, with US markets closed for Presidents’ Day.

Miners Anglo American, Rio, Glencore and Antofagasta all rose as metals prices advanced.

Retailer Frasers Group rallied after saying it was starting an £80m share buyback. Frasers, controlled by Mike Ashley and owner of Sports Direct, said the repurchase would be used to reduce the company’s share capital, adding that it would run until April 30.

On the downside, packaging group DS Smith slumped after a downgrade to ‘neutral’ from ‘buy’ at Bank of America Merrill Lynch.

The bank said it expects the group to see much lower box volumes in the third quarter and for prices to fall in 2024. It also pointed to higher energy and labour costs.

BofA said it reckons volumes are past their peak and expects them to drop as a result of de-stocking.

It also said that that DS Smith’s peers have reported “relatively strong de-stocking effects in container-board/boxes” this earnings season.

The bank said the shares appear "fairly priced" and have outperformed peers by 10%-15% in the last three months.

Peers Smurfit Kappa and Mondi also fell.

FTSE 100 - Risers

Anglo American (AAL) 3,320.50p 3.46%
Frasers Group (FRAS) 792.50p 2.99%
Rio Tinto (RIO) 6,284.00p 2.97%
Taylor Wimpey (TW.) 122.90p 2.25%
Hargreaves Lansdown (HL.) 871.80p 2.13%
Glencore (GLEN) 518.40p 1.71%
Persimmon (PSN) 1,460.50p 1.71%
Melrose Industries (MRO) 146.00p 1.64%
Antofagasta (ANTO) 1,759.00p 1.59%
M&G (MNG) 203.60p 1.09%

FTSE 100 - Fallers

Smith (DS) (SMDS) 338.10p -4.33%
International Consolidated Airlines Group SA (CDI) (IAG) 163.90p -2.00%
Centrica (CNA) 103.05p -1.90%
SEGRO (SGRO) 851.40p -1.71%
Whitbread (WTB) 3,061.00p -1.58%
Hiscox Limited (DI) (HSX) 1,122.50p -1.32%
Unite Group (UTG) 983.00p -1.21%
Smurfit Kappa Group (CDI) (SKG) 3,201.00p -1.11%
Mondi (MNDI) 1,479.50p -1.00%
Entain (ENT) 1,383.50p -1.00%