London shares close lower on telco weakness
Leading shares closed lower on Tuesday, with the banks and telcos weighing heavily on the index amid poor results and cautious trading updates, the AFP reported.
At the close, the FTSE 100 was down 40.2 points at 5,364.1, albeit off a low of 5,282.8
Vodafone was the most heavily traded stock, with 937 million shares changing owners after the mobile phone group said full-year sales would be at the lower end of expectations because of difficult trading conditions.
The news sent Vodafone's share price tumbling by 13.6 percent -- or 20.25 pence -- to close at 129.
Pub operator Enterprise Inns was also one of the biggest losers, shedding 13.4 pence -- or 46.25 pence -- to end at 299.50 after the group reported declining beer sales and the increasing cost of helping out struggling licensees.
Banking shares were also lower, amid continuing gloom in the financial sector after US bank Wachovia posted an 8.86 billion dollar loss for the second quarter.
On the upside, Cairn Energy saw the biggest gains on Tuesday, adding 6.23 percent -- or 161 pence -- to close at 2744.
Platinum specialist Lonmin also added 5.18 percent -- or 131 pence -- to lose at 2662 on speculation that the group might be subject to a takeover bid.