By Sara Sjolin, MarketWatch
LONDON (MarketWatch) -- U.K. stocks declined for a third
straight day on Thursday, led by banks and resource firms amid
worries over a potential reduction in U.S. bond buys.
The FTSE 100 index slid 1% to 6,445.25, closing at the lowest
level since Oct. 10.
Shares of Sports Direct International PLC posted the biggest
loss in the index, sliding 13%, after the company said Group
Finance Director Bob Mellors will retire at the end of the month on
health grounds.
Oil-services firms were also lower, hurt by a profit warning
from John Wood Group PLC , which downgraded expectations for its
engineering division. John Wood stumbled 9.9% outside the main
index.
Within in the FTSE 100, Petrofac Ltd. dropped 4% and AMEC PLC
gave up 5%.
The broader market continued to slide on fears the U.S. Federal
Reserve could taper its $85-billion-a-month bond buys at its
meeting next week. Recent upbeat data and a budget deal in
Washington have added to speculations the central bank could start
cutting its asset purchases at the December meeting. Data out on
Thursday were mixed, however. Follow the U.S. stock-market action
here.
Banks, which are among the most risk-sensitive sectors, fell.
Shares of Royal Bank of Scotland Group PLC (RBS) gave up 2.8%,
Barclays PLC (BCS) fell 2.2% and heavyweight HSBC Holdings PLC
(HSBC) shaved off 0.4%.
Resource firms were also gave up ground. In the energy sector,
BG Group PLC lost 1.3% and BP PLC (BP) erased 1.4%. Oil prices were
higher.
Among miners, Fresnillo PLC fell 5.2%, Randgold Resources Ltd.
dropped 3.8% and BHP Billiton PLC (BHP) eased 1.7%. Metals posted
sharp losses.
Shares of Anglo American PLC lost 1.4% as the miner said it
expects to face headwinds next year.
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