The FTSE 100 opened well down with the mood soured by a warning on trading from drinks group Diageo PLC (LSE:DGE). The blue-chip index was down with economic news also mixed. Britain’s economy flatlined in the third quarter, although it managed to eke out modest growth in September which was better than economists had expected. Monthly real gross domestic product (GDP) grew 0.2% in September, following growth of 0.1% in August.
But it was Spirits giant Diageo’s comment of lower growth after a “materially” weaker sales performance in Latin America and the Caribbean that dominated early on. The Johnnie Walker and Guinness group said second-half sales in these areas would drop 20%.
NatWest Group PLC (LSE:NWG) might not pay all of the purported £10 million in bonus payments due to former chief executive Alison Rose in the wake of the Nigel Farage furore, according to Sky News. An announcement might come as soon as today, said the report.
Redrow PLC (LSE:RDW)’s revenue and profit this year will be towards the lower end of guidance after a spike in cancellations in a subdued housing market. Net private reservations are 25% down on a year ago.
Among the small caps, make-up specialist Warpaint London PLC (AIM:W7L) stood out after stating profits had more than doubled due to strong second-half trading.
