The FTSE 100 drifted as government bond yields rose on fears of sticky inflation, weighing on sentiment, and Legal & General (LGEN) led a fall in insurer stocks after Citigroup cut its share price target.
Legal & General dropped 3% to 234p, below Citigroup’s target of 245p, which its analysts have lowered from 254p. The stock has fallen more than 7% this week.
‘Legal & General solvency remains strong but with the new CEO fresh in the seat, we see the likelihood of upside surprises from additional capital return as low at this point,’ Reuters reported Citigroup saying in a note.
