FTSE 100 Rises: Hikma CEO Steps Down, Jefferies Downgrades ABF and Next

The FTSE 100 rose around 0.7% on Monday morning, tracking gains across European markets. Germany’s DAX was up 0.2%, while France’s CAC 40 gained 0.7%. The pan-European Stoxx 600 climbed 0.6%.

Hikma Pharmaceuticals weighed on the index after the FTSE 100-listed drugmaker said chief executive Riad Mishlawi had left the group by mutual agreement.

Mishlawi had been in the role since September 2023. Executive chairman Said Darwazah, a former chief executive of the company, will assume CEO responsibilities with immediate effect.

Hikma shares were down around 1.9%, making the stock one of the weakest performers on the index.

UK retail stocks were also in focus after Jefferies adopted a more cautious stance, warning of a growing disconnect between buoyant equity markets and fragile consumer confidence.

The broker downgraded Associated British Foods to Underperform from Hold and cut its price target to 1,800p from 2,000p. Shares in ABF fell around 1.4%.

Jefferies also downgraded Next to Hold from Buy, although it raised its price target to 14,000p from 13,000p.

Tesco was similarly downgraded to Hold from Buy, with its shares down around 1%, while Next edged 0.1% lower.

Elsewhere, attention is turning to the Bank of England, with the monetary policy committee expected to vote by a narrow margin in favour of cutting the UK’s interest rate to 3.75% on Thursday.

Among the session’s strongest performers were Auto Trader, up 3%, Antofagasta, which gained 2.4%, and Sage, up 2.3%. Other notable fallers included BAE Systems, down 1.2%, alongside Hikma and ABF.