FTSE 100 movers: Prudential rallies as first-half numbers impress, Burberry slumps on yuan devaluation

London’s FTSE 100 index was down 0.8% at 6,681 at 1500 BST, as the devaluation of the yuan hit the heavily-weighted mining sector.

Prudential was the standout gainer after the insurer posted a better-than-expected 17% rise in first-half operating profit and lifted its interim dividend on the back of strong performances in all of its business units.

In its first earnings release under new chief executive Mike Wells, Prudential reported operating profit of £1.88bn, up from £1.60bn in the first half of last year, underpinned by solid performances in Asia, the UK and the US.

Shore Capital said: “All of the key financial metrics were ahead of both our and the market's expectations, highlighting the strength of Pru's positioning across the main financial markets in the U.S., UK and Asia, with the dividend as expected.”

Precious metals miners Fresnillo and Randgold Resources made healthy gains as gold prices hit a three-week high.

On the downside, though, Glencore, BHP Billiton, Antofagasta, Rio Tinto and Anglo American were all in the red as the dollar gained ground after the Chinese central bank devalued the renminbi by the largest amount on record. When the greenback appreciates, it makes dollar-denominated commodities more expensive for holders of other currencies.

“The commodity-related companies are feeling the pain of the Beijing decision, and faith won’t be restored in the metals industry until Beijing’s actions show signs of improvement,” said David Madden, market analyst at IG.

Luxury fashion retailer Burberry, which has significant exposure to China, was under the cosh after the People’s Bank of China slashed its daily fixed rate to the dollar by 1.9% to 6.228. China accounts for around 14% of Burberry’s retail and wholesale revenue.

Risers
Prudential (PRU) 1,560.50p +3.58%
Fresnillo (FRES) 666.50p +2.62%
Randgold Resources Ltd. (RRS) 4,013.00p +2.09%
Inmarsat (ISAT) 980.00p +1.29%
Coca-Cola HBC AG (CDI) (CCH) 1,341.00p +1.28%
ARM Holdings (ARM) 963.00p +1.16%
TUI AG Reg Shs (DI) (TUI) 1,049.00p +0.38%
Royal Bank of Scotland Group (RBS) 345.00p +0.32%
Kingfisher (KGF) 373.40p +0.08%

Fallers
Glencore (GLEN) 197.45p -4.13%
BHP Billiton (BLT) 1,165.00p -3.64%
Burberry Group (BRBY) 1,553.00p -3.36%
GKN (GKN) 312.40p -2.77%
Antofagasta (ANTO) 579.50p -2.44%
Rio Tinto (RIO) 2,575.00p -2.28%
Reckitt Benckiser Group (RB.) 6,121.00p -2.10%
Anglo American (AAL) 791.90p -2.04%
Johnson Matthey (JMAT) 2,907.00p -1.72%
GlaxoSmithKline (GSK) 1,433.50p -1.65%