Business

FTSE extends losses as housebuilder shares fall

London stock brokers (file photo) Image copyright AFP

Housebuilders have extended losses, dragging the FTSE 100 lower after investors reacted negatively to Barratt Developments' latest trading statement.

Although the UK homes market is strong, London is cooling, Barratt said. Its shares ended about 2.8% lower, with other housebuilders also falling.

The FTSE, which had been making strong gains since last week, shed about 0.6% to 6,749 points.

The main markets in Paris and Frankfurt also fell by 0.7% and 0.8%.

Relx, the former Reed Elsevier, was the biggest riser, up 2.9%.

Outside the top flight, online retailer Ocado was a heavy loser after supermarket Morrisons announced a deepening of its home delivery tie-up with Amazon.

Ocado, which already has a deal in place to deliver orders from Morrisons.com, saw its shares sink about 8.5%.

ICAP managed a double-digit fall, however, shedding just over 10%.

One the currency markets the pound was down 0.1% against the dollar at $1.2443, but was 0.4% higher against the euro at €1.1655.