The FTSE 100 gained on Wednesday as markets shrugged of concerns around the latest developments in Russia’s movement in Ukraine.
Markets across Europe chose to look past the threats of conflict in Ukraine on Wednesday and traded within a tight range as investors awaited further news.
After trading as high as 7,549, the FTSE 100 closed just 3 points higher at 7,497.
“The FTSE 100 managed a move higher on Wednesday despite the simmering tensions in Ukraine,” said AJ Bell investment director Russ Mould.
“The US seems to have ruled out any talks with the Russians until they pull back from the separatist regions in the Donbas region they occupied yesterday so the ball now appears to be in Vladimir Putin’s court.
“So far the sanctions imposed by the West aren’t as heavy as might have been expected and the market is apparently taking this a win amid hints Putin might be open to a diplomatic solution.
“However, predicting the Russian premier’s next move is a mug’s game and unfortunately until the situation is resolved the markets are likely to remain firmly on the edge.”
Evraz was FTSE 100 top faller, with the steel manufacturing and mining company’s stock dropping 10.8% to 250.7p as Russia tension again hit the company.
The bulk of Evraz’s output comes from Russia, sparking questions about how the producer intends to export its wares if conflict erupts.
Kingfisher has also taken a significant hit, dropping 4.69% to 298.6p. Kingfisher has been under pressure recently over concerns rising households bills would dent spending on DIY.
CRH fell 3,472.5p, wiping 2.66% off the stock value of the building materials producer.
Barclays rose 3% at 196p after reporting an increase in their annual net profits before tax. The group’s net profit before tax amounted to £8.4bn with a rise of 174% from £3.2bn net profits before tax in 2021.
Barclay’s Corporate and Investment Banking division also recorded an increase in net profits at £5.8bn.
Dividend payouts increased with Barclay’s paying their shareholders 6.0p per share.
Antofagasta continues rally
Antofagasta was riding wave of positivity following as strong update yesterday. Anto’s share price gained 3.2% to 1450p on Wednesday.
Antofagasta yesterday reported a 46% increase in revenues from $5.1bn to $7.4bn. Profits before tax was reported as $3.4bn which is 146% higher than last year.
“Antofagasta is riding this price strength as in 2021 it has generated its highest profits in over a decade, based on the company’s preferred metric of earnings before interest, taxes, depreciation and amortisation (EBITDA), after a 77% jump to $4.8 billion,” said Russ Mould, AJ Bell Investment Director.
Hikma Pharmaceuticals shares rose 3.4% and were the FTSE 100 top rise ahead of their results tomorrow.
