FTSE 100 movers: AstraZeneca in the black; Reckitt tumbles

29th Jul 2024 14:55

(Sharecast News) - London's FTSE 100 was up 0.3% at 8,309.79 in afternoon trade on Monday.

AstraZeneca was in the black as it hailed positive high-level results from a clinical trial of its Calquence treatment for adults with chronic lymphocytic leukaemia (CLL).

Entain fell as it said that BetMGM - its sports betting and iGaming operator in the US - surpassed the $1bn mark for revenues in the first half, but still made a loss as a result of heavy investments during the period.

Reckitt Benckiser was under the cosh amid concerns about potential litigation, after a US jury found on Friday that infant formula by Abbott Laboratories had caused a girl to develop a dangerous bowel disease.

Abbott was ordered to pay $495m in damages. This consisted of $95m compensatory damages and $400m punitive.

Dan Coatsworth, investment analyst at AJ Bell, said: "Reckitt's shares have been severely depressed since March as the market worries about the scale of any potential liabilities if the company loses legal battles around the safety of its baby formula.

"A US court case has already awarded $60 million in damages to a mother who said her baby died after consuming Reckitt's Enfamil baby formula. Several hundred similar claims have been in filed in US courts targeting Reckitt and Abbott.

"The more setbacks for either baby formula maker, the more complicated it becomes for Reckitt to sell its nutrition arm. Reckitt last week indicated it might be up for sale, saying it was considering all options for the business.

"Any potential buyer could be put off by the possibility of liabilities from the court cases, meaning the pressure is growing for Reckitt to find a way to ringfence a large amount of money in case it loses big time in the court battles."

BA and Iberia owner IAG flew lower ahead of half-year results at the end of the week.

FTSE 100 - Risers

Airtel Africa (AAF) 114.40p 4.19%

SEGRO (SGRO) 918.60p 2.98%

JD Sports Fashion (JD.) 126.95p 2.92%

Prudential (PRU) 700.60p 2.28%

NATWEST GROUP (NWG) 369.90p 2.21%

AstraZeneca (AZN) 12,430.00p 1.92%

3i Group (III) 3,086.00p 1.92%

M&G (MNG) 211.30p 1.88%

Lloyds Banking Group (LLOY) 61.44p 1.76%

Persimmon (PSN) 1,587.00p 1.73%

FTSE 100 - Fallers

Entain (ENT) 586.80p -9.58%

Reckitt Benckiser Group (RKT) 4,065.00p -9.38%

International Consolidated Airlines Group SA (CDI) (IAG) 164.50p -1.59%

Fresnillo (FRES) 570.00p -1.55%

Flutter Entertainment (DI) (FLTR) 15,150.00p -1.30%

Anglo American (AAL) 2,357.00p -1.26%

Burberry Group (BRBY) 738.00p -1.23%

Diageo (DGE) 2,542.50p -0.90%

Glencore (GLEN) 429.60p -0.87%

Beazley (BEZ) 664.00p -0.67%