On Monday, the FTSE 100 remained relatively stable following its record highs from the previous week. Mondi emerged as the poorest performer, suffering a decline exceeding 14% after it cautioned about ongoing "challenging" trading conditions in the third quarter. The paper and packaging firm attributed its struggles to diminished demand, reduced paper prices, and a fall in EBITDA across both its corrugated and flexible packaging divisions. Mondi anticipates that difficult market conditions will continue due to fragile confidence and oversupply, which puts pressure on prices.
In contrast, shares of BP and Shell climbed by 1% and 0.9%, respectively, thanks to OPEC+'s decision to implement a modest production increase of 137,000 barrels per day—significantly lower than the anticipated 500,000-barrel hike—resulting in a boost to crude prices. Additionally, gold mining companies benefited, with Fresnillo gaining over 1.5% and Endeavour rising by 0.8%, as gold reached a new peak, exceeding $3,900 per ounce. This surge occurred against the backdrop of an ongoing U.S. government shutdown and increasing expectations of Federal Reserve rate cuts.
Elsewhere, lender Shawbrook confirmed its intention to go public on the London Stock Exchange, which in turn lifted the shares of the London Stock Exchange Group by 0.5%.
