FTSE 100 movers: Fresnillo shines; 3i hit by downgrade

(Sharecast News) - London's FTSE 100 was up 0.3% at 10,178.34 in afternoon trade on Monday. Fresnillo was the standout gainer on the index after gold prices breached the $5,000 an ounce mark for the first time as investors continued to flock to safe haven assets.

Russ Mould, investment director at AJ Bell, said: "There may not be any big geopolitical news to rival last week's Greenland drama, but internal tensions in the US are helping to keep precious metals prices elevated.

"Gold has moved through $5,000 for the first time - showing investors are still seeking out the traditional haven for some insurance against what remains a febrile backdrop.

"In less than 18 months bullion has more than doubled in value - buoyed by central bank demand, global turmoil, dollar weakness, and the diminished appeal of other popular defensive assets."

3i Group slid after RBC Capital Markets downgraded the stock to 'underperform' from 'sector perform' and cut the price target to 3,000p from 3,250p as it said the valuation was still "on the full side".

The bank said it was concerned that Dutch retailer Action, in which 3i holds a majority stake, is at risk of moving into a period of diminishing returns, given macro pressures on its customers, increased maturity and competition in major markets.

"This looks somewhat at odds with its premium valuation," RBC said. "We think 3i, including Action, remains a high quality business with a strong management team, but we see more valuation upside for several other stocks in the sector. Hence, we move our sector relative rating to underperform."

Reckitt Benckiser was in the red even after the consumer goods giant said it has not been subject to a product recall in the Philippines as reported in a media article.

FTSE 100 - Risers

Fresnillo (FRES) 4,432.00p 6.33% Antofagasta (ANTO) 3,794.00p 5.86% Smurfit Westrock (DI) (SWR) 3,191.00p 4.49% SEGRO (SGRO) 755.00p 3.48% Anglo American (AAL) 3,475.00p 2.87% United Utilities Group (UU.) 1,222.00p 2.47% Rio Tinto (RIO) 6,737.00p 2.45% Pershing Square Holdings Ltd NPV (PSH) 4,658.00p 2.37% Weir Group (WEIR) 3,246.00p 2.14% SSE (SSE) 2,370.00p 2.07%

FTSE 100 - Fallers

Experian (EXPN) 2,913.00p -3.83% Burberry Group (BRBY) 1,152.50p -3.60% 3i Group (III) 3,172.00p -3.56% Autotrader Group (AUTO) 550.80p -3.10% St James's Place (STJ) 1,455.00p -2.45% BT Group (BT.A) 183.70p -2.42% BAE Systems (BA.) 1,989.50p -1.85% Relx plc (REL) 2,875.00p -1.57% Flutter Entertainment (DI) (FLTR) 12,795.00p -1.50% easyJet (EZJ) 474.70p -1.49%