Sector movers: Defensives pace advance despite rising yields
Cyclicals were at the top of the leaderboard as shares in Sky shot higher on the back of an all-cash £11.2bn from America's 21st Century Fox, becoming the latest UK blue-chip to become a target for a foreign competitor in the wake of Brexit and the drop in the value of the pound.
However, outside Media the price action was about a move back towards so-called defensive issues, including Healthcare, Pharma and Tobacco.
That was despite another leg higher on UK 10-year Gilt yields, which rose by seven basis points to reach 1.45% and which typically act as a rival for investors' funds.
Pharmaceutical giant AstraZeneca was one of the best performers after the US Food and Drug Administration accepted the first biologics licence for it’s durvalumab in bladder cancer and given the drug priority review status.
The company also teamed up with American counterpart Eli Lilly to co-develop a treatment for Alzheimer’s disease (AD). Shire rose on the back of AstraZeneca’s gains.
Top performing sectors so far today
Media 7,599.20 +4.96%
Health Care Equipment & Services 7,106.03 +2.87%
Pharmaceuticals & Biotechnology 12,830.08 +2.35%
Oil Equipment, Services & Distribution 15,975.91 +1.92%
Tobacco 50,861.79 +1.32%
Bottom performing sectors so far today
Industrial Metals & Mining 2,310.51 -10.49%
Mining 15,351.90 -1.48%
Forestry & Paper 17,352.66 -1.47%
Fixed Line Telecommunications 4,012.89 -1.29%
Life Insurance 7,765.89 -1.02%