Index steady as investors wait for US meeting

The FTSE 100 was buoyed by a dip in the value of the pound, as sterling’s rally on foreign exchange markets fizzled out on Monday.

London’s top flight closed up 11.53 points at 7,357.31.

However, the index remained steady as investors remained cautious ahead of the Federal Open Market Committee meeting in the US this week.

David Madden, market analyst at CMC Markets UK, said: “Stock markets in Europe haven’t moved much today as some investors are sitting on their hands in advance of the much-awaited Federal Reserve meeting on Wednesday.”

In the US, the Dow Jones inched higher as traders wait on the announcement.

The European markets remained steady as the German Dax dipped by 0.09% and the French Cac jumped by 0.43%.

In currency, the pound was down 0.26% to 1.256 versus the US dollar and decreased 0.46% to 1.118 against the euro.

In stocks, construction firm Kier Group saw shares dive after it announced plans to cut 1,200 jobs as part of its strategy to simplify the business and save on costs.

Kier Group shares closed down 22.8p at 108p.

Elsewhere, Babcock’s share price increased after it said it had been approached by outsourcing rival Serco earlier this year with a proposal for a mega-merger, but the idea was rejected.

Shares in Babcock lifted by 6.8p to 471.4p.

The biggest risers on the FTSE 100 were Hikma pharmaceuticals, up 55p at 1,700.5p and Micro Focus International, up 34.6p at 2,009p.

The biggest fallers were DS Smith, down 17.9p at 332.3p and EasyJet, down 40.6p at 888.4p.