The FTSE 100 shrugged off volatility in Asian markets to trade flat on Tuesday morning, with the FTSE 250 retreating just slightly from the record highs it recently attained on reopening hopes.
“Concerns over the Chinese tech sector and its relationship with the state probably feel quite remote to an index which is dominated by a lot of traditional and old economy businesses,” said AJ Bell investment director Russ Mould.
“More attention might fall on the US PMI figures out later today with the markets likely to be hoping for a number which suggest steady growth rather than a blow-out reading.”
Investors are continuing to weigh both recovery and inflation and rate hike risks.
FTSE 100 Top Movers
IAG (3.02%), Ocado (2.24%) and Tesco (1.99%) are heading up the FTSE 100 during the morning session on Tuesday.
British Land (-2.72%), Land Securities (-2.02%) and Informa (-1.74%) make up the bottom three on the UK index so far today.
Ocado
Ocado is revelling as shoppers are increasingly buying their goods online, helping the grocer to record a 20% rise in sales.
Ocado reduced its half-year pre-tax loss by £17.3m to £23.6m, as its revenues jumped nearly 20% to £1.2bn over the half-year period ending in May.
The FTSE 100 company’s underlying profits over trebled to £61m, although the company made a the firm made a pre-tax loss of £23.6m thanks to impairment charges of £104m.
Sainsbury’s
Despite the widespread easing of coronavirus restrictions, Sainsbury’s (LON:SBRY)sales surpassed its expectations as many people opted to stay at home to eat and drink.
Over a 16-week period ending at the end of June, the FTSE 100 company’s sales rose by 1.6% compared to the same period a year prior.
As a result, Sainsbury’s increased its guidance for its full-year underlying pre-tax profit by £40m to £660m.