A strong showing on Wall Street last night failed to provide a tailwind for equities on Thursday as markets across most of Asia and Europe slipped back.
The FTSE 100 dropped 0.7% to 6,022 with weakness in consumer cyclicals, financials, utilities, healthcare and technology.
Bucking the trend were airlines with Lufthansa up 7% on advanced talks over a €9bn state bailout and EasyJet jumping 2.3% after indicating it would restart some flights in mid-June. Jet2 owner Dart Group soared by 15.4% after it raised £174 million through a significantly oversubscribed share placing.
“Airlines didn’t experience the stock market recovery rally that pushed up many other sectors in April as investors have been very nervous about the state of operators’ finances,” says Russ Mould, investment director at AJ Bell.