London stocks closed lower on Wednesday (June 22), pressured by the release of British inflation data, which hit a 40-year high in May. This will increase pressure on the Bank of England (BoE) to raise interest rates further. A drop in crude oil and metal prices led to a drop in commodities stocks.
The FTSE 100 London Stock Exchange closed at 7,089.22, down 62.83, or -0.88%.
Markets have been pressured by the release of the British Consumer Price Index (CPI), which hit a new 40-year high of 9.1 percent in May.
The BoE raised interest rates by 0.25% to 1.25% last week. and said it was ready to take drastic action to curb inflation.
analysts expected British stocks were set to close in June, down 7-8 per cent as investor confidence sank on growing concerns about the recession.
Mining and energy stocks fell 3.6 percent and 3.8 percent, respectively, after industrial metals and crude oil prices fell.
As for individual stocks that declined Including Harbor Energy shares fell 3.5% after revealing to the British government that The windfall tax on the energy sector will shrink the company’s investment in England