Sector movers: Banks and Defensives drag

(Sharecast News) - Banks were at the bottom of the pile at the start of the week as investors waited on the results of the US mid-term elections the next day.

There was also considerable expectation ahead of the release US consumer price data due out on Thursday.

Against that backdrop, cable was again moving higher, dragging on the top-flight index although stocks on the London Stock Exchange's second-tier index were on the up.

Defensives such as Pharma and Electricity were also weaker alongside.

On a related note, perhaps, equity strategists at JP Morgan argued in a research note sent to clients that likely peaking yields, the reopening of the Chinese economy and still depressed investor sentiment were likely to support equities.

Worth noting, UK equities remained their favourite in the Developed Market space and they remained "positive" on the value parts of the market.

Pure defensives on the other hand looked the "most expensive", they added.

Defence issues were also coming under some pressure, possibly after reports at the weekend that Washington was asking Kyiv not to shut the door completely to possible talks with Moscow at some point.

Nevertheless, in the background, on Monday, analysts at JP Morgan raised their target prices for shares of BAE Systems and Qinetiq from 1,000.0p to 1,100.0p and from 375.0p to 410.0, respectively.

Top performing sectors so far today

Automobiles & Parts 1,299.71 +7.95%

Personal Goods 31,258.56 +1.63%

Travel & Leisure 6,394.13 +1.41%

Leisure Goods 15,912.83 +1.19%

Food Producers 5,428.51 +1.06%

Bottom performing sectors so far today

Pharmaceuticals & Biotechnology 19,830.23 -1.66%

Banks 3,043.25 -1.56%

Beverages 27,696.23 -1.15%

Electricity 9,532.80 -1.11%

Gas, Water & Multiutilities 5,357.27 -0.89%