Pharmaceutical and telecoms shares are in the spotlight as leading shares slip back after three days of gains.
The FTSE 100 is currently 17.90 points lower at 6401.25, with a weak Chinese property market, disappointing results from Amazon overnight and a confirmed case of Ebola in New York all helping to take the shine off shares. UK GDP has little effect so far, meeting expectations of a 0.7% rise. Mike McCudden at Interactive Investor said:
Despite some positive corporate and economic news the latest Ebola scare in the US has given nervous investors cause to retreat. With the risk of the virus spreading being very low this may appear to be an opportunity to invest. However, with on-going global economic concerns and upcoming data from the euro zone investors may be well advised to sit on the sidelines.
On the stock front, Amazon has not helped the outlook for the US open today after reporting a huge third quarter loss.
Shire is down 19p at £38.76 ahead of third quarter figures due later. US predator AbbVie recently called of its proposed bid for the company due to changes in tax inversion rules, so the results will be examined to see where Shire intends to go from here.
Meanwhile Hikma Pharmaceutical has dropped 105p to £17.95 after US regulator the Food and Drink Administration raised issues regarding its plant in Portugal. The warning letter follows an inspection by the FDA in March.
via The Guardian