(RTTNews) - The UK stock market's benchmark index FTSE 100 drifted lower Thursday morning, extending losses from the previous session, weighed down by losses in healthcare, energy and consumer goods sectors. Bank and mining stocks gained notable ground in positive territory and helped limit market's downside.
The mood in the market remained cautious with investors closely following updates on the geopolitical front.
The U.S. military reportedly attacked Iranian targets for a second straight day and U.S. President Donald Trump said the flare-up will end very quickly. U.S. airstrikes hit about 90 targets across Iran as Tehran targeted Gulf states.
Oil prices have recovered after a fall from higher levels. At $78.37 a barrel a little while ago, Brent Crude futures were up 0.45% from previous close.
The FTSE 100 index, which dropped to 10395.89 earlier, was down 84.41 points or 0.8% at 10,404.63 a few minutes before noon.
AstraZeneca tumbled nearly 10% after the group said its nerve disease drug Wainua failed to meet its target in a late-stage trial to reduce cardiovascular-related deaths.
GSK shed about 1.1%, and Hikma Pharmaceuticals drifted down 0.7%.
BAE Systems, British American Tobacco, Coca-Cola Europacific Partners, Unilever, Diageo, BP, Croda International, Smith & Nephew, Babcock International, Reckitt Benckiser, Compass Group and Aviva lost 1%-2%.
Miners Glencore, Antofagasta and Anglo American Plc moved up 3.1%-3.7%. Endeavour Mining, Fresnillo and Rio Tinto gained 2.3%, 2% and 1.8%, respectively.
Among bank stocks Standard Chartered climbed 2.7%. HSBC Holdings, Barclays, Natwest Group and Lloyds Banking Group also moved notably higher.
Computacenter jumped nearly 8%. Polar Capital Technology Trust, Lion Finance, Smiths Group, Admiral Group, Entain, Rolls-Royce Holdings, Halma, Persimmon, Tritax Big Box REIT, Next and Barratt Redrow gained 1%-2.3%.
Bytes Technology Group gained about 2%. The software, AI and cloud services provider said trading has been strong in the first fourth months that ended June 30.
In economic news, a report from the Royal Institution of Chartered Surveyors said the RICS UK Residential Market Survey showed that the house price balance edged up to -33% in June from -34% in May, pointing to only tentative signs of improvement despite the recent easing in global geopolitical tensions and the decline in oil prices.
Looking ahead, the three-month house price expectations index improved to -32% from -44%, while the 12-month outlook turned slightly more optimistic at +8%, reflecting modest price growth over the coming year.
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