The FTSE 100 has edged lower in early trading despite inflation falling to its lowest rate in two and a half years.
Headline inflation slowed to 3.4% in February, beating estimates of 3.5% and improving on January’s 4%. Analysts believe February’s figures place the UK in good position for inflation to fall below 2% in the coming months, paving way for a rate cut in June.
Among equities, Prudential, the insurance giant, saw shares tick higher after it reported a 45% surge in new business profit, helped along by impressive performances in Asia and Africa.
Toy railway maker Hornby also jumped at the open as it was revealed Mike Ashley, who has become a strategic shareholder in the company, will be joining as a consultant.
Other early risers included Halma, Hikma Pharmaceutical and Persimmon, while Burberry and Weir Group opened trading going the other way.
