A profit warning from telecom bigwig Nokia bullied telecom and telecom related stocks further th...
A profit warning from telecom bigwig Nokia bullied telecom and telecom related stocks further this afternoon and put the seal on a forgettable day in the advancement of the FTSE 100.
Nokia said that judging from the first two months of the current quarter, year-on-year sales growth for the second quarter will be worse than expected and growth this year is now expected to be nominally higher than last year.
The FTSE 100 finished down 53.7 points to 5806.8.
Among the telecom casualties, Telewest lost 6p to 110p, Colt Telecom down 27p to 645p and index heavyweight Vodafone down 6.5p to 168.5p. Recent weakness from the US's Nasdaq hasn't helped any.
Surprisingly BT managed to gain against the telecom downturn thanks to its allegiance with Deutsche Telekom to share the burden of 3G network rollout costs across the UK and Germany. BT gained 8p to 433.5p.
Media group Granada was down in the dumps with investors selling the stock ahead of its interim results tomorrow. The city is concerned about the heavy spending on investment the group has made in digital television. Furthermore the endemic downturn in advertising across the industry is also bound to have eaten into the figures. The stock lost 3.75p to 167p. Rival Carlton also fell and was down 14p to 374p.
The week's whipping boys Railtrack and Hays continued to be punished and respectively fell 19p to 357p and 21p to 268.5p.
Leading the FTSE 100 gainers, by virtue of its staunchly defensive quality, was AB Foods up 13.5p to 428.5p and Cadbury fared well for the same reason, up 11.75p to 481p.
Among the FTSE 250 holiday operator First Choice tried to brighten the market with interim results that showed lower-than-expected losses and the group released a confident trading projections for the next six months. The stock gained 1.5p to 155.5p.
Over in the US, at midday the Dow Jones was down 101 to 10820, the Nasdaq lost 50 to 2120 and the Standard & Poor's 500 shed 14 to 1235.
£300bn of liabilities
View from the front row
Transfer from occupational scheme
Appointed by FCA and PSR boards