FTSE 100 movers: Miners rally; Ocado hit by downgrade
London’s FTSE 100 was up 0.4% at 7,234 in afternoon trade on Monday.
Miners Anglo American, Glencore and Rio Tinto were among the best performers.
Susannah Streeter, senior investment and markets analyst at Hargreaves Lansdown, said: "Miners have started on the front foot, helped by the plans for a potential $600 billion global infrastructure boost, which was unveiled at the G7 summit.
"It’s hoped this scheme, seen as a counter to China’s Belt and Road Initiative, will set off a spurt of spending and demand for commodities around the world, triggered by the $200 billion pledged by the US. But there are already some concerns about the watering down of commitments amid escalating costs of some planned projects due to inflationary pressures."
Online supermarket Ocado was knocked lower by a downgrade to ‘neutral’ from ‘outperform’ at Credit Suisse, which slashed its price target to 960p from 1,600p.
The bank said it was revising its model assumptions following the capital raise and in line with new disclosure provided by the company at its recent modelling seminar as well as medium-term and short-term targets confirmed by Ocado.
"Our target price change is primarily driven by: (i) changes in generic customer fulfilment centre (CFC) economic assumptions; (ii) effect from the capital raise; (iii) reallocation and better visibility of central cost and Technology cost; (iv) increased WACC assumption from 8.3% to 8.5%; and (v) changes in retail valuation," it said.
CS said it was broadly in line with the mid-term guidance given by the company.
FTSE 100 - Risers
Rolls-Royce Holdings (RR.) 83.46p 3.11%
Anglo American (AAL) 3,160.00p 3.07%
Glencore (GLEN) 457.60p 2.54%
Pershing Square Holdings Ltd NPV (PSH) 2,525.00p 2.43%
Hargreaves Lansdown (HL.) 823.40p 2.34%
WPP (WPP) 828.60p 2.30%
Scottish Mortgage Inv Trust (SMT) 749.20p 2.21%
Harbour Energy (HBR) 362.70p 2.14%
Rio Tinto (RIO) 5,076.00p 1.95%
Smiths Group (SMIN) 1,425.00p 1.86%
FTSE 100 - Fallers
Abrdn (ABDN) 167.50p -2.02%
BT Group (BT.A) 185.90p -1.38%
Auto Trader Group (AUTO) 543.80p -1.13%
Avast (AVST) 521.40p -1.03%
Ocado Group (OCDO) 862.00p -0.99%
AstraZeneca (AZN) 10,670.00p -0.98%
Airtel Africa (AAF) 136.50p -0.87%
Sage Group (SGE) 640.80p -0.87%
Intermediate Capital Group (ICP) 1,407.00p -0.85%
Imperial Brands (IMB) 1,824.50p -0.76%