FTSE 100 Starts Week Lower

The FTSE 100 Index decreased 57 points or 0.54 percent on Monday to close at 10543 points. The decline was led by Barratt Redrow (-3.44%), Airtel Africa (-3.29%) and Kingfisher (-3.22%). On the upside, the strongest performers were Experian (2.37%), Diploma (1.42%) and JD Sports Fashion (1.17%).

The FTSE 100 fell more than 0.5% on Monday, underperforming its European peers. Investors assessed the appointment of Andy Burnham as the UK's new prime minister, with attention now turning to his choice of Chancellor. Meanwhile, oil prices reversed earlier gains as markets balanced escalating tensions in the Middle East against renewed diplomatic efforts. Brent crude slipped back below $88 per barrel after earlier trading near $90, as reports that mediators had proposed a pause in US-Iran hostilities offset concerns over Yemen's Iran-backed Houthi rebels threatening maritime traffic from Saudi Arabia. Among heavyweight stocks, Shell fell 0.8%, HSBC lost 0.9%, AstraZeneca dropped 1.5%, GSK declined 1.8%, Unilever slipped 0.6%, Rolls-Royce eased 0.4%, while Rio Tinto retreated 1.5%.

The FTSE 100 fell more than 0.5% on Monday as renewed Middle East tensions lifted oil prices and weighed on broader market sentiment. Investors also focused on Andy Burnham, who is set to become the UK's new prime minister, marking the country's seventh leader in just over a decade. Banking stocks were among the main laggards, with HSBC, Lloyds Banking, Barclays, NatWest and Standard Chartered falling between 0.4% and 0.8%. Segro dropped around 2% after rejecting a third takeover proposal from US logistics property group Prologis, which valued the company at about £13.5 billion. Unilever declined 1.6%, Rolls Royce lost 1%, while AstraZeneca, GSK and BAT also traded lower. In contrast, energy majors Shell and BP outperformed as higher crude prices supported the sector.