BRUSSELS/FRANKFURT/PARIS (dpa-AFX) - FTSE 100 followed its European peers to negative territory albeit on a lesser scale as rebound hopes and virus fears drove the index to oscillate in a tight range between 7010 and 7100. Markets fretted about the likely ferocity of the delta plus variants and the potential impact on the planned relaxations in restrictions. The benchmark is currently trading at 7050 levels, down by 0.53 percent.
Premier Inn owner Whitbread is trading higher by 1.19 percent whereas Compass group has gained 0.94 percent. Prudential is down by 2.88 percent after neutral rating by a brokerage whereas sports gaming company Entain has shed 2.50 percent.
Mining stock Rio Tinto that declared force majeure at Richards Bay is down by 0.73 percent.
In the 101-scrip index, 20 scrips have advanced from Tuesday's levels whereas 3 are at same levels as of previous day. The remaining 78 scrips have declined from the previous day's levels indicating broad-based weakness in the market.
In economic indicators, GDP for January to March quarter contracted 1.6 percent as expected. The current account deficit narrowed to GBP 12.8 billion or 2.3 percent of GDP from GBP 26.3 billion in the previous period. Business investment sank 10.7 percent on a quarterly basis and 16.9 percent on a yearly basis reflective of weak investment intentions despite the progress in vaccination and the phased relaxations in restrictions.
Markets await comments on the stance of the Bank of England in the context of the recent economic indicators released. Investors also await the monthly payroll data from the U.S. due later in the week and deemed decisive for the Fed's monetary policy stance.
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