FTSE 100 Live Tuesday
- Gold price touches $3500
- Dollar weakness continues
- DCC in £1bn healthcare deal
Market update: FTSE 100 higher amid flight from US assets, Sainsbury's backed
10:34 , Graeme EvansGold’s record $3500 an ounce amid a continued flight from safe haven US assets today provided the focus in a resilient session for the FTSE 100 index.
Worries over central bank independence after Donald Trump renewed his criticism of Federal Reserve chair Jerome Powell left the dollar index at a three-year low.
Urging pre-emptive interest rate cuts, the US President called Powell “Mr Too Late” and said the economy risks slowing unless the central bank acts.
The threat to Powell’s position with a year of his appointment still to go dealt a fresh blow to US stock and bond markets, with the S&P 500 index down 2.4% alongside fresh selling of Nvidia and Tesla.
US futures today suggested a calmer session, while the greenback also steadied after the pound had earlier reached $1.34.
Gold touched $3500 for the first time before settling at $3452 an ounce, still more than 30% higher so far this year as investors targeted the safe haven asset.
The latest record helped London-listed Endeavour Mining add another 2% or 38p to 2192p, meaning the Africa-focused gold producer has risen 46% during 2025 and by 25% in the past month.
Silver miner Fresnillo also advanced 3% or 31.6p to 1052.6p, whereas other miners including Glencore and Anglo American surrendered initial gains.
In line with the stronger performance of Asia and European markets as investors rotated out of US equities, the FTSE 100 index improved 14.82 points to 8290.48.
Stocks up by 2% included Vodafone and Barratt Redrow, while Unilever improved 1.5% or 71p to 4877p ahead of first quarter results on Thursday.
Sainsbury’s shares added 3% or 6.8p to 263.6p after Thursday’s annual results prompted JP Morgan analysts to lift their price target to 330p. Tesco cheered 9.6p to 364.2p.
Among other broker recommendations, BP fell 0.6p to 358.8p after Berenberg lowered its price estimate to 395p from 450p previously.
The FTSE 100 fallers board also featured the US focused tech investors Pershing Square, Scottish Mortgage and Polar Capital, with their shares about 2% lower.
DCC fell 3% or 140p to 4840p at the bottom of the FTSE 100 after the business support services group agreed the sale of its healthcare arm in a deal valuing the division at more than £1 billion.
The move by Dublin-based DCC forms part of previously announced efforts to focus on its energy business.
On AIM, currency risk management firm Argentex requested the suspension of its shares. It said FX volatility, particularly in relation to the US dollar’s slide, has had a “rapid and significant impact” on its near term liquidity position.
It is taking steps to preserve cash and increase the collateral received from its counterparties, while it also has the support of its principal liquidity provider.
Argentex, whose board is chaired by former Camelot UK chief executive Nigel Railton, is considering a number of options for the business.
It said: “In the event that the volatility in currency markets worsens materially then the company's financial liquidity position, if not strengthened in the near term, would be significantly stretched.”
DCC sells healthcare arm for £1bn, shares lower
08:59 , Graeme EvansFTSE 100-listed business support services group DCC has agreed the sale of its healthcare arm in a deal valuing the division at more than £1 billion.
DCC, which has its headquarters in Dublin, is set to sell the business to HealthCo Investment – a subsidiary of Investindustrial Advisors – for £1.05 billion as part of efforts to focus on its energy business.
DCC Healthcare has more than 3000 employees and operates globally through 11 manufacturing sites and distribution and commercial centres.
The company’s shares fell 4% or 192p to 4788p, leaving them 8% lower this year.
FTSE 100 holds firm as miners advance, Scottish Mortgage down 2%
08:24 , Graeme EvansRobust mining and retail stocks have underpinned a resilient session for the FTSE 100 index, which is down 7.24 points at 8268.42,
Glencore, Rio Tinto and Anglo American are up about 0.5%, while Africa-based Endeavour Mining has risen 3% or 68p to 2222p due to the record price of gold.
In the retail sector, Sainsbury’s is up 3% or 6.6p to 263.4p in the aftermath of annual results before the weekend. JD Sports Fashion is up 0.7p to 75.7p
US focused tech investors Pershing Square, Scottish Mortgage and Polar Capital are down by 2%, alongside GKN Aerospace owner Melrose Industries.
BP shares are down 2.3p to 357.1p and Rolls-Royce 7.6p lower at 706.8p.
Gold near $3500 an ounce, up 30% this year
07:48 , Graeme EvansGold is up by more than 30% this year, having surged to a fresh record of near $3500 an ounce in today’s dealings.
The precious metal has been boosted by the weakening dollar and growing demand for safe-haven assets after confidence in US financial stability was dealt a further blow by Donald Trump’s Federal Reserve criticism.
IG said: “The metal’s rally underscores its role as a hedge against both inflation and geopolitical risk, especially when traditional safe assets like Treasuries come under political scrutiny.”
IG expects the FTSE 100 index to open 17 points lower but adds that leading Wall Street markets are likely to stage a recovery later. The Hang Seng index is about 0.6% higher.
It added: “While Asian markets remained relatively stable, capital flowed out of US equity funds into Asian and European equities.”
Dollar slide continues on Trump's interest rate comments
07:35 , Graeme EvansThe dollar index is on course for its weakest month since 2009, having fallen by almost 6% since the start of April. The pound is at a seven-month high of $1.34.
The greenback’s latest retreat against a basket of major currencies came amid renewed worries over US central bank independence.
Backing the case for pre-emptive interest rate cuts, US President Donald Trump called Federal Reserve chair Jerome Powell “Mr Too Late” and said the economy risks slowing unless the central bank acts.
The comments also impacted equity and bond markets, with the S&P 500 index down 2.4% and the yield on long-dated Treasuries up 10 basis points to 4.90%.
Gold has also extended its year-to-date increase to about 30%.
Deutsche Bank said today: “While potential risks to Fed independence had already generated headlines in recent weeks, yesterday’s market moves were the clearest sign yet of investor anxiety over the topic.”
Gold at fresh record as dollar weakness continues
07:07 , Graeme EvansThe pound has risen to $1.34 after the dollar took a further hit in the wake of Donald Trump’s criticism of Federal Reserve chair Jerome Powell.
Uncertainty caused by the US President’s comments that interest rates should be lower also fuelled demand for gold.
The safe haven metal is trading at a fresh record of $3492 an ounce, while Brent Crude is at $66.57 a barrel after falling yesterday.
US futures are pointing to a steadier session after Trump’s comments yesterday triggered falls of about 2.5% for the Dow Jones Industrial Average and S&P 500 index. Nvidia shares fell 4.5% and Tesla by 6%.
The FTSE 100 index, which closed Thursday’s session unchanged at 8275, is set to open about 25 points lower this morning.
