FTSE falls as trade view deteriorates; Royal Mail sinks

Credit: REUTERS/TOBY MELVILLE

London's FTSE 100 fell further on Thursday as a standoff between U.S. and China over Hong Kong put off hopes of an imminent trade deal, while mid-cap Royal Mail slumped 12% after saying it was behind schedule on its turnaround plan.

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FTSE 100 down 0.7%, FTSE 250 down 0.8%

Sino-U.S. tensions dominate sentiment

Royal Mail slumps as turnaround behind schedule

Nov 21 (Reuters) - London's FTSE 100 fell further on Thursday as a standoff between U.S. and China over Hong Kong put off hopes of an imminent trade deal, while mid-cap Royal Mail slumped 12% after saying it was behind schedule on its turnaround plan.

The main index .FTSE shed 0.7% as financial stocks and oil firms dropped amid a fresh row between the two countries after U.S. legislation on Hong Kong drew condemnation from Beijing, casting doubt on progress over the trade deal.

Shares in BAT BATS.L outperformed, however, ahead of a meeting on vaping guidelines at the White House on Friday.

The mid-cap FTSE 250 .FTMC slid 0.8%, as Royal Mail's RMG.L plunge more than offset a 6% rise in Direct Line DLGD.L after Britain's biggest motor insurer laid out a plan to cut expenses.

(Reporting by Muvija M and Shashwat Awasthi in Bengaluru; Editing by Shailesh Kuber)

((Shashwat.Awasthi@thomsonreuters.com; within UK: +1 646 223 3403; outside UK: +91 80 61822606, +91 80 37962606;))

The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.

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