Business

FTSE 100 stumbles as Burberry tumbles

Market trader (file picture) Image copyright Getty Images

London's leading shares fell again on Wednesday but sterling was steady as investors continued to digest the consequences of the UK's snap election call.

The FTSE 100 share index ended the day down 33 points, or almost 0.5%, at 7,114.3 points.

Meanwhile, the pound retreated from earlier highs against the dollar to trade at $1.2794 and 1.1949 euros.

The blue-chip index has now erased all its gains for the year.

More than two-thirds of profits for FTSE 100 companies are earned overseas, making them vulnerable to a stronger pound.

Luxury fashion firm Burberry was the biggest loser, falling almost 8%.

Its tumble came despite a positive trading update that saw its second-half revenues rise 19% to £1.3bn, thanks to the weakness of the pound since the UK's vote to leave the EU.

At the other end of the scale, supermarket chain Sainsbury's was the biggest riser, jumping 5%.

Easyjet enjoyed a similar rise, with Royal Bank of Scotland 4.9% higher.

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