FTSE 100 movers: Retailers rally; Rolls-Royce hit by broker note

London’s FTSE 100 was up 1.1% at 7,527.47 in afternoon trade on Tuesday.

Retailers were on the rise, with online supermarket Ocado the standout gainer, while JD Sports Fashion and B&Q owner Kingfisher also gained.

British American Tobacco was in the red after the US Supreme Court on Monday rejected a bid from the tobacco industry to block a California ban on flavoured tobacco products. The ban, which was overwhelmingly approved by voters in November, will prohibit the sale of most flavoured tobacco products, including menthol cigarettes.

Engine maker Rolls-Royce was under the cosh as JPMorgan Cazenove maintained its ‘underweight’ rating on the shares and placed them on ‘negative catalyst watch’, as it took a look at the European aerospace and defence sector.

"In our view RR needs to significantly improve its EBITA and reduce its cash interest payments so that it can start to generate ‘good quality’ free cash flow that does not rely on customer advances," JPM said.

"We believe that RR’s new CEO, Tufan Erginbilgic, will want to address these issues early in his tenure."

FTSE 100 - Risers

Ocado Group (OCDO) 736.00p 9.95%
Intermediate Capital Group (ICP) 1,246.50p 6.63%
Hargreaves Lansdown (HL.) 904.60p 5.63%
JD Sports Fashion (JD.) 126.70p 4.80%
Smurfit Kappa Group (CDI) (SKG) 3,127.00p 4.34%
Schroders (SDR) 466.90p 4.06%
St James's Place (STJ) 1,176.00p 3.89%
Kingfisher (KGF) 244.40p 3.87%
Ashtead Group (AHT) 5,056.00p 3.82%
Persimmon (PSN) 1,299.00p 3.75%

FTSE 100 - Fallers

BAE Systems (BA.) 810.20p -2.50%
British American Tobacco (BATS) 3,246.50p -1.84%
Rolls-Royce Holdings (RR.) 91.28p -1.68%
Relx plc (REL) 2,302.00p -1.20%
Pearson (PSON) 917.20p -1.06%
Imperial Brands (IMB) 2,040.00p -1.02%
Centrica (CNA) 91.36p -0.93%
Unilever (ULVR) 4,100.50p -0.52%
Compass Group (CPG) 1,895.00p -0.39%
AstraZeneca (AZN) 11,308.00p -0.37%