London pre-open: Stocks to tumble as Russia invades Ukraine
London stocks were set to tumble at the open on Thursday after Russia invaded Ukraine.
The FTSE 100 was called to open 178 points lower at 7,320.
CMC Markets analyst Michael Hewson said: "Reports of missile strikes on various targets around Kyiv, Kharkiv and Dnipro, and heavy fighting has seen oil prices surge over $100 a barrel, gold to move above $1,940 an ounce, while Asia markets have plunged, with the Nikkei down 2%. The US dollar has also risen sharply and government bond yields have dropped sharply as investors move into haven trades.
"European markets are set to follow suit when they open later this morning as the US, EU and UK ponder their next moves with further sanctions likely, but which will in all likelihood get ignored. It’s probably not hyperbole to say that Europe is now at its most dangerous juncture since World War 2."
In corporate news, Rolls-Royce’s chief executive Warren East will leave at the end of 2022 after leading the engine maker for eight years during the most turbulent period in the company’s history.
The FTSE 100 engine maker said it was looking for a replacement for East, who took over after a series of profit warnings and directed Rolls through the aviation industry’s greatest crisis.
Real estate investment trust LXI REIT said it had made a series of acquisitions, funded by its recent £250.0m equity capital raise.
LXI REIT acquired a 45,000 square foot Tesco foodstore and a 22,000 square foot Home Bargains site in Houghton le Spring as well as a convenience store in Horncastle leased to the Co-Operative Food Group for a total of £26.0m, reflecting an accretive 5% net initial yield. The company has now deployed £170.0m since its capital raise.