UK's FTSE 100 edges lower as industrial and energy shares weigh

Reuters11-12
UK's FTSE 100 edges lower as industrial and energy shares weigh

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FTSE 100 down 0.1%, FTSE 250 up 0.1%

BP and Shell decline as oil drops

SSE soars on 33 billion pounds investment plan

Nov 12 (Reuters) - London's FTSE 100 index edged lower on Wednesday after closing at record high levels for two consecutive sessions, as losses in industrials and energy shares weighed on the market.

The blue-chip index .FTSE was down 0.1% at 9,886 points as of 1214 GMT, but still hovering near record levels and within striking distance of the 10,000 mark. The mid-cap index FTSE 250 .FTMC gained 0.1%.

Market sentiment improved earlier this week on hopes of a U.S. government shutdown resolution.

Investors are now expecting that the U.S. House of Representatives might soon vote to end the shutdown that has suspended crucial economic data releases. This resolution would likely provide greater clarity for the Federal Reserve's upcoming interest rate decisions.

In UK markets, industrial shares .FTNMX502050 declined 1.3%, with credit data specialist Experian EXPN.L dropping 3.1% despite forecasting full-year revenue growth of 11%, the upper end of its outlook range.

Pharmaceutical giant AstraZeneca AZN.L was down 0.5%, retreating from the record high achieved in the previous session. The broader pharmaceutical and biotechnology sector .FTNMX201030 slipped 0.6%.

Energy shares .FTNMX601010 weakened as oil prices dipped following Tuesday's surge, with oil majors BP BP.L and Shell SHEL.L falling 0.8% and 0.3%, respectively.

Homebuilders .FTNMX402020 declined 1.8%. Taylor Wimpey's TW.L shares fell nearly 4% after reporting a softer autumn selling season as British buyers hesitated ahead of the budget announcement.

Conversely, personal goods .FTNMX402040 led the gainers, rising 3.2%.

Utilities .FTUB6510 advanced 2.4% as SSE SSE.L surged 12.3% to a record high after unveiling a 33 billion pounds ($44.29 billion) five-year investment plan to upgrade the UK's regulated electricity networks and expand its renewable business.

Looking ahead, market participants are awaiting Thursday's preliminary UK GDP figures for the third quarter, which will offer crucial insights into the nation's economic health before the government's budget announcement later this month.

Among other stocks, Smithson Investment SSON.L rose 6.7% after announcing plans to convert its assets into an open-ended fund, while Avon Technologies AVON.L jumped 8.3% to a five-year high following an upbeat fiscal year outlook.

($1 = 0.7451 pounds)

(Reporting by Utkarsh Tushar Hathi in Bengaluru, Editing by Leroy Leo)

((utkarshtushar.hathi@thomsonreuters.com))

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