Unilever PLC and Strong Pound Weigh Down U.K. Shares
U.K. stocks struggled for direction on Monday with a sharp drop in shares of Unilever PLC and a strengthening Pound weighing on the market. The FTSE 100 index showed little change, flat at around 7,300.00 level.
Unilever PLC shares lost nearly 7% after Kraft Heinz Co. on Sunday stated that it would withdraw its $143 billion bid for the consumer goods giant after having been rejected.
Besides, the British Pound added more than 0.4% against the U.S. dollar to trade at $1.2473, up from $1.2421 late Friday. A strong Sterling tends to hurt the index’s heavy weighting toward exporters that benefit from a weaker currency.
Leading the list of gainers, shares in Royal Bank of Scotland PLC jumped nearly 6% following news that the banking and insurance holding company might not banking and insurance holding company.
Sell Stop at 7290.00, Take profit 7270.00, Stop loss at 7300.00