BRUSSELS/FRANKFURT/PARIS (dpa-AFX) - U.K. stocks were moving lower on Thursday, with rising U.S.-China tensions and concerns about a new spike in coronavirus cases denting investor sentiment.
Meanwhile, U.K. private sector output remained on a steep downward trajectory in May due to business shutdowns amid the coronavirus, pandemic, according to the flash survey results published by IHS Markit.
The flash IHS Markit/Chartered Institute of Procurement & Supply composite output index rose to 28.9 in May from 13.8 in April.
Nonetheless, the latest reading signaled a far steeper pace of contraction than at the worst point of the global financial crisis.
The services Purchasing Managers' Index came in at 27.8 versus 13.4 in April, while the manufacturing PMI advanced to 40.6 in May from 32.6 in the previous month.
The benchmark FTSE 100 dropped 53 points, or 0.87 percent, to 6,014 after climbing 1.1 percent the previous day.
Banks Barclays and HSBC Holdings fell over 2 percent after Bank of England chair Andrew Baily reportedly said the U.K. central bank has not precluded the possibility of negative interest rates.
EasyJet shares jumped 7 percent. The low-cost airline said it would resume flights on June 15 with a small schedule focused on U.K. and French domestic flights.
Whitbread slumped 11.6 percent after the Premier Inn owner announced it would raise almost £1bn through a rights issue.
Copyright RTT News/dpa-AFX