UK and European gave back ground on Friday after a strong week for risk assets as investors began to focus on the state of the global economy and the prospect of central bank stimulus.
Away from the election, eyes were turned towards the US non-farm payrolls and unemployment data due out later today.
The FTSE 100 index traded down 22 points or 0.4% to 5,884 points with gains in financial stocks offset by weakness in consumer companies.
The pound continued to rise against the dollar, touching $1.305, while gold also continued its rally climbing to $1,948 per ounce.
IN THE NEWS
There was a flurry of excitement in insurer RSA (RSA) late yesterday after the company revealed it had been approached a month ago by a consortium of investors with a cash bid of 685p per share compared with prevailing share price of 460p.
RSA shares jumped 45% to 670p in after-hours trading although they gave back 5p on Friday morning as investors mulled the bid.
Fellow insurer Beazley (BEZ) posted an upbeat AGM statement with gross written premiums for the nine months to September up 16% to £2.53 billion thanks largely to a 14% hike in renewal prices. Shares added 1.5% to 310p.
Premier Foods (PFD) announced it had sold its stake in bread-maker Hovis to private equity firm Endless in a £37 million deal, which it said would strengthen the group's financial position as it continues to improve its leverage profile. Shares rose 1.8% to 105.4p.
Alongside its joint venture partner, the Gores Group, the group has held a 49% minority interest in Hovis since April 2014. Under Gores and Premier Foods' ownership, Hovis has undergone major supply chain restructuring.
Shares in budget airline EasyJet (EZJ) dipped 2% to 536p after it said it expected to fly no more than 20% of planned capacity for the fiscal first quarter of 2021 folllowing lockdowns in England, Germany, and France.
The company also said it would sell and leaseback a further eleven aircraft with two counterparties, generating proceeds of $169.5 million, or approximately £130.7 million.
Engineering and industrial software Aveva (AVV) said it would launch a rights issue to raise gross proceeds of approximately £2.835 billion to partly fund the acquisition of OSIsoft, a global leader in real-time industrial data software and services. Shares fell 3.8% to £40.04.
Shares in drug maker AstraZeneca (AZN) shed 2.2% to £83.45 despite news that its Brilinta drug was approved in the US to reduce the risk of stroke or death in patients with acute ischemic stroke or high-risk transient ischaemic attack.
The approval by the US Food and Drug Administration (FDA) was based on positive results from the THALES Phase III trial that showed aspirin plus Brilinta 90mg significantly reduced the rate of the composite of stroke and death compared to aspirin alone in patients with acute ischaemic stroke or transient ischaemic attack.
HgCapital Trust (HGT) said it had invested about £20m in Gen II Fund Services, a private equity fund administrator.
The terms of the transaction were not disclosed and closing of the transaction was conditional on customary anti-trust and regulatory approvals, the company said. Shares added 2.2% to 298p.
Marine services company James Fisher and Sons (FSJ) warned on profit after performance fell short of its expectations in the third quarter amid ongoing challenges.
The company expects underlying operating profit for the full year, before separately disclosed items, to be in the range of £35m-to-£40m against consensus expectations of around £50 million and a prior-yer figure of £66.3 million. Shares tumbled 12% to 953p.
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