Sector movers: Defensives bounce back at month's end

(Sharecast News) - UK stocks extended their recent bounce following the release of slightly weaker-than-expected readings on US consumer spending and inflation. According to the country's Department of Commerce, at 0.2% the core PCE price index registered its smallest month-on-month gain of 2024 in April.

That was alongside a 0.1% monthly decline in inflation adjusted personal consumption expenditures.

Commenting on the session's result, IG's Chris Beauchamp said of the latest price numbers: " While it leaves expectations around the June Fed meeting unchanged, it at least allays some worries that a hike was becoming more likely."

Beauchamp also noted NATO countries willingness to let Kyiv use their weaponry on Russian territory and France's decision to deploy military advisers to Ukraine.

"It looks like spillover risks from the conflict are back on the agenda for investors."

Against that backdrop, London's top-flight index finished the month of May 1.4% higher, alongside a 3.8% jump on the second-tier index.

Ten-year Gilt yields ended the day off by three basis points to 4.321%, while gold futures on COMEX gave back 0.87% to $2,345.80/oz..

Top performing sectors so far today

Gas, Water & Multiutilities 5,620.55 +3.70%

Electricity 10,532.10 +2.10%

Leisure Goods 25,288.94 +2.05%

Pharmaceuticals & Biotechnology 23,365.59 +1.42%

Telecommunications Service Providers 2,079.59 +1.04%

Bottom performing sectors so far today

Food Producers 8,179.55 -1.96%

Construction & Materials 10,546.05 -0.92%

Industrial Engineering 13,997.85 -0.86%

Personal Goods 15,497.62 -0.83%

Real Estate Investment & Services 2,239.65 -0.70%