(Sharecast News) - Stocks are coming off their lows after being upended by the news bombshell that US President Donald Trump and his wife had tested positive for Covid-19.
Traders immediately pushed the 'sell' button, yet while that was to be expected, given the pandemic, the latest headlines might bring into sharp relief important questions regarding the risks of a leadership vacuum in Washington during one of the most trying crisis of the last century due to the pandemic.
It was also possible that Friday's news might put paid to Trump's chances of being reelected.
Commenting on the more immediate risks - even if exceedingly unlikely - in the current situation, analysts at Rabobank wrote: "To say this could potentially be a *big* deal is an understatement. Not much more can be said here at this stage, other than to do what one always does when **anyone** catches Covid - wish them a rapid and full recovery.
"However, one cannot help but note that Trump is very much in the age and weight category that place him in the higher risk groups, health-wise, and the market and public talk will now be of little else."
As of 0936 BST, the FTSE 100 was trading down 0.53% to 5,848.28 but off its lows of the session at 5,809.61.
Sterling was higher, having recover from earlier selling in parallel, by 0.36% to 1.2937.
As if the news out of the White House were not enough, also overnight talks on Capitol Hill to agree on a fourth stimulus package fell through.
Nevertheless, it remained to be seen whether either Republicans or Democrats would want to be seen to have scuppered any chance of an agreement heading into the 3 November presidential elections.
Against that backdrop, investors were waiting on what had been expected to be the main event of the day, the release of the US non-farm payrolls report at 1330 BST.
Heavy investor appetite for IAG rights issue
IAG said all the shares in its €2.74bn (£2.5bn) rights issue were taken up by investors after demand for additional shares exceeded supply. The British Airways owner' said shareholders took up 92.75% of new shares during the pre-emptive subscription period which ended on 26 September. The rest of the shares were allocated on a pro-rata basis after investors requested more than double the number of new shares remaining.
AstraZeneca announced on Friday that 'Farxiga', or dapagliflozin, has been granted 'Breakthrough Therapy Designation' in the US, for patients with chronic kidney disease, with and without type-2 diabetes. The FTSE 100 pharmaceuticals giant said the Food and Drug Administration (FDA) granted the designation based on clinical evidence from the DAPA-CKD trial.
James Fisher and Sons said its specialist technical business had won a multi-million-pound five-year Royal Navy contract to service life-support diving equipment. There were no specific figures on the contractual amount. The company said the deal builds on a 20-year relationship with the Royal Navy, reflecting JFD's breadth of expertise and commitment to capability development and safety improvements in military diving.
Market Movers
FTSE 100 (UKX) 5,850.49 -0.49%
FTSE 250 (MCX) 17,268.18 -0.66%
techMARK (TASX) 3,725.28 -0.60%
FTSE 100 - Risers
NATWEST GROUP PLC ORD 100P (NWG) 108.50p 0.93%
Standard Life Aberdeen (SLA) 235.30p 0.90%
Mondi (MNDI) 1,706.00p 0.83%
Vodafone Group (VOD) 102.50p 0.79%
SSE (SSE) 1,263.50p 0.76%
Persimmon (PSN) 2,528.00p 0.72%
Ashtead Group (AHT) 2,844.00p 0.60%
Lloyds Banking Group (LLOY) 26.67p 0.53%
Pearson (PSON) 550.80p 0.51%
Legal & General Group (LGEN) 192.75p 0.50%
FTSE 100 - Fallers
Rolls-Royce Holdings (RR.) 109.95p -5.86%
Melrose Industries (MRO) 115.35p -4.03%
Ocado Group (OCDO) 2,610.00p -3.97%
Homeserve (HSV) 1,205.00p -2.74%
JD Sports Fashion (JD.) 787.60p -2.50%
Smith & Nephew (SN.) 1,500.50p -2.34%
B&M European Value Retail S.A. (DI) (BME) 491.80p -2.30%
Burberry Group (BRBY) 1,556.00p -2.29%
GVC Holdings (GVC) 984.00p -1.89%
Aveva Group (AVV) 4,735.00p -1.74%
FTSE 250 - Risers
Hilton Food Group (HFG) 1,228.00p 2.33%
IMI (IMI) 1,082.00p 2.27%
Fisher (James) & Sons (FSJ) 1,168.00p 2.10%
Airtel Africa (AAF) 59.30p 1.54%
Apax Global Alpha Limited (APAX) 159.80p 1.40%
888 Holdings (888) 261.00p 1.36%
Pets at Home Group (PETS) 400.20p 1.27%
BB Healthcare Trust (Red) (BBH) 167.50p 1.21%
ITV (ITV) 69.48p 1.08%
Hipgnosis Songs Fund Limited C Shs NPV (SONC) 102.50p 0.99%
FTSE 250 - Fallers
Centamin (DI) (CEY) 169.00p -15.96%
Network International Holdings (NETW) 251.00p -3.83%
UDG Healthcare Public Limited Company (UDG) 743.00p -3.44%
WH Smith (SMWH) 922.50p -3.35%
IWG (IWG) 252.20p -3.30%
Aggreko (AGK) 367.40p -3.26%
PureTech Health (PRTC) 249.50p -2.92%
Trainline (TRN) 364.20p -2.88%
easyJet (EZJ) 487.70p -2.69%
Cairn Energy (CNE) 142.90p -2.52%
FTSE 100 (UKX) 5,838.07 -0.70%
FTSE 250 (MCX) 17,238.42 -0.83%
techMARK (TASX) 3,722.60 -0.67%
FTSE 100 - Risers
International Consolidated Airlines Group SA (CDI) (IAG) 94.80p 1.04%
NATWEST GROUP PLC ORD 100P (NWG) 108.05p 0.51%
Standard Life Aberdeen (SLA) 234.20p 0.43%
Pearson (PSON) 550.00p 0.36%
Persimmon (PSN) 2,511.00p 0.04%
Barratt Developments (BDEV) 489.60p 0.02%
SSE (SSE) 1,254.00p 0.00%
London Stock Exchange Group (LSE) 9,106.00p -0.02%
Intertek Group (ITRK) 6,366.00p -0.03%
Bunzl (BNZL) 2,505.00p -0.04%
FTSE 100 - Fallers
Rolls-Royce Holdings (RR.) 109.50p -6.25%
Melrose Industries (MRO) 114.00p -5.16%
Homeserve (HSV) 1,206.00p -2.66%
JD Sports Fashion (JD.) 787.00p -2.57%
Burberry Group (BRBY) 1,552.00p -2.54%
Ocado Group (OCDO) 2,650.00p -2.50%
InterContinental Hotels Group (IHG) 3,894.00p -2.16%
B&M European Value Retail S.A. (DI) (BME) 493.70p -1.93%
Schroders (SDR) 2,691.00p -1.86%
BP (BP.) 214.25p -1.81%
FTSE 250 - Risers
IMI (IMI) 1,085.00p 2.55%
Hilton Food Group (HFG) 1,228.00p 2.33%
Fisher (James) & Sons (FSJ) 1,168.00p 2.10%
888 Holdings (888) 262.00p 1.75%
Apax Global Alpha Limited (APAX) 159.80p 1.40%
Pets at Home Group (PETS) 400.20p 1.27%
BB Healthcare Trust (Red) (BBH) 167.50p 1.21%
Premier Foods (PFD) 100.80p 1.20%
Brewin Dolphin Holdings (BRW) 235.50p 1.07%
Ascential (ASCL) 302.60p 1.00%
FTSE 250 - Fallers
Centamin (DI) (CEY) 163.10p -18.90%
Trainline (TRN) 360.40p -3.89%
Network International Holdings (NETW) 251.40p -3.68%
Cairn Energy (CNE) 141.40p -3.55%
WH Smith (SMWH) 922.00p -3.40%
Aggreko (AGK) 367.20p -3.32%
SSP Group (SSPG) 181.80p -3.25%
Cineworld Group (CINE) 39.20p -3.19%
UDG Healthcare Public Limited Company (UDG) 745.50p -3.12%
IWG (IWG) 252.80p -3.07%