FTSE retreats from five-month high

FXStreet (Mumbai) - The London’s Ftse index retreated from a five-month high seen on Friday due to weakness in oil shares, while some stock prices suffered declines due to broker downgrades.

Broker downgrades hit stocks

The Ftse Utility index weakened by 1.38%. Crude oil prices fell 1.3%, which pushed the Ftse Oil and Gas index lower by 0.22%. Shares in Weir Group fell 1.77%, while Fresnillo fell 3.7% after Morgan Stanley reduced its stance to "equal weight" from "overweight". Intertek Group fell 3.6% after Jefferies downgraded the stock to "hold" from "buy". Meanwhile, shares in Centrica fell 2.8%, after Citi cut its price target to 285 pence from 310 pence.

The Ftse index weakened 0.17% to trade at 6862.00 levels. The index retreated from the five-month high of 6887.57 levels seen in the previous session as investors stay cautious ahead of the Eurogroup meeting.

FTSE Technical Levels

The immediate resistance is seen at 6887.57, above which prices could test 6904.86 (Aug 2014 high). On the flip side, a break below 6852.30 levels could push the pair down to 6821.30 levels.

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