China results and HSBC dip push FTSE into red

China results and HSBC dip push FTSE into red

London's top flight index was languishing in the red as weak economic data from China and a profits plunge at HSBC helped drive the market lower.

Negativity spread across European markets after the latest Chinese manufacturing data showed activity shrank for the 14th month in a row in April.

The FTSE 100 Index was 52.2 points lower at 6190.9, as HSBC also posted a sharp drop in profits for the first three months of the year after it was hit by "extreme levels of volatility" in financial markets in January and February.

The banking giant was nearly 1% down after reporting an 18% fall in underlying pre-tax profits to $5.43bn for the first quarter.

On a bottom-line basis, profits fell 14% to $6.11bn.

However, shares in the bank had risen in Hong Kong trading as the profits fall was not as bad as most analysts had expected.

Across Europe, Germany's Dax was 1.5% lower and the Cac 40 in France slipped 1.1%, as they felt the force of the manufacturing update from China, which came in below market expectations at 49.4 last month, according to the Caixin/Markit Manufacturing Purchasing Managers' index (PMI).

Miner Anglo American was the biggest faller on the London market, as it was hit in the wake of the disappointing economic results from the Far East, falling more than 7% or 57.2p to 707.2p.

Commodity stocks were also on the back foot despite the price of oil rising 0.4% to 45.99 US dollars a barrel.

More in this Section

Video: Food deliveries using drones to begin in Dublin this monthVideo: Food deliveries using drones to begin in Dublin this month

Public fed up with EU warnings over Brexit delays, says Wetherspoons chiefPublic fed up with EU warnings over Brexit delays, says Wetherspoons chief

Coronavirus: Irish bank shares fall as Italy mulls EU budget requestCoronavirus: Irish bank shares fall as Italy mulls EU budget request

UK-EU trade talks set for choppy waters after fishing rowUK-EU trade talks set for choppy waters after fishing row


Lifestyle

I don't remember a lot of shouting in my household growing up, and neither does my twin.Mum's the Word: How did my parents manage to create a calm household?

The TripAdvisor Travellers’ Choice Awards have been revealed. These are the destinations that came out tops.3 emerging destinations to add to your travel wish list – according to TripAdvisor data

The recent death of Caroline Flack has once again brought the issue of internet trolls and cancel culture back into public discourse.Learning Points: The reality is we all play a role in cancel culture

Rita de Brún speaks with Sean McKeown, Fota Wildlife Park director and longtime Cork resident.‘You’ve got to make the changes you want to see’, says Fota Wildlife director

More From The Irish Examiner