Details of Philip Green's bid for Marks & Spencer were released this morning, sending shares in the retailer down, and helping the FTSE 100 index shed about 20 points to 4,402.
A warning from analysts that chipmaker Intel may have to lower its own production forecasts as well as continued nervousness over oil prices also acted to push shares down.
M&S is off by 16.75p to 349.25p after investors indicated their dislike of Green’s proposed bid, which would see a deal financed by the issue of bonds and loans from investment banks.
Mining groups were hammered by analyst notes forecasting an easing of commodities prices.
Johnson Matthey, the chemicals specialist and largest provider of platinum for car exhaust catalytsts, is down 14.5p to 880p.
Rio Tinto is down 20p to 1,270p, and Xstrata is down 10.5p to 673.5p.
SABMiller is up 12p to 664p on speculation it will withdraw from a costly battle for China’s biggest brewer Harbin.
The FTSE 250 index is down about 10 points to 6,039.
Carphone Warehouse is down 3.5p to 143.25p as investors locked in gains on the 64% rise in the company’s share price, despite it reporting a 25% increase in annual profits.
US markets opening after the long weekend were mixed.
The Dow Jones Industrial Average index gained 60.32 points to 10,262.97 on hopes a deal to boost output by OPEC members would ease oil prices. The S&P 500 index added 3.79 points to 1,124.99.
However, Nasdaq’s Composite fell 1.79 points to 1,988.98.
Tokyo’s Nikkei 225 index fell 215.29 to 11,027.05, while Hong Kong’s Hang Seng is down 271.82 points to 11,929.23.IFAonline
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