London open: FTSE falls as energy stocks slump; ADP, JOLTS eyed

(Sharecast News) - London stocks fell in early trade on Wednesday following a record close the previous day, with oil giants under the cosh, as investors eyed the latest ADP and JOLTS reports ahead of Friday's non-farm payrolls.

At 0845 GMT, the FTSE 100 was down 0.4% at 10,083.89. On Tuesday, the index closed up 1.3% at a fresh record high of 10,132.02, setting its third closing record in as many days.

BP and Shell gushed lower in tandem with oil prices after US President Donald Trump said Venezuela will be "turning over" up to 50 million barrels of oil to the US to be sold at its market price.

In a post on Truth Social, Trump said the US will use the proceeds "to benefit the people of Venezuela and the United States!".

Kathleen Brooks, research director at XTB, noted that Trump's comments caused Brent crude to tumble back towards $60 per barrel, with WTI down more than 1% and currently trading at $56.30.

Brooks said a break below $55 for WTI would be a bearish development for the oil price and would signal further losses after 2025's sharp decline in the price of crude. "Although the oil price was initially able to absorb the Venezuela news, today's move lower is a sign that the oil price continues to be sensitive to any shift in supply dynamics," she said.

Investors were also considering Trump's plans for Greenland, after the White House said on Tuesday that the president is discussing options for acquiring the territory, including potential use of the US army.

Brooks said: "Venezuela had few friends, so taking out Maduro could be easier than taking over Greenland, especially after Europe's top leaders defended Greenland and Denmark from Trump's remarks.

"Thus, although we could see Trump roll back on some of his recent rhetoric around Greenland, it is still unsettling when there is talk of US military force towards a NATO member, which Greenland is as part of Denmark."

Looking ahead to the rest of the day, attention will turn to the US ADP report for December due at 1315 GMT, while the November JOLTS report at 1500 GMT will also be eyed. Both have the potential to shape market expectations ahead of Friday's payrolls.

Elsewhere in equity markets, NatWest fell after a downgrade to 'equalweight' at Barclays, while Hikma was knocked lower by a downgrade to 'underweight' by the same outfit.

On the upside, Vodafone shot to the top of the FTSE 100 after Berenberg upgraded the stock to 'buy' from 'hold', saying it believes the company can now deliver sustainable free cash flow and dividend growth in the coming years.

Great Portland Estates rose after saying it has agreed to buy a building from the City of London Corporation for �51m, boosting its West End portfolio. The property firm has acquired a 155-year leasehold interest in 10 South Crescent, WC1, a 72,605sq ft building off Tottenham Court Road.

Market Movers

FTSE 100 (UKX) 10,083.89 -0.38%

FTSE 250 (MCX) 22,747.30 -0.20%

techMARK (TASX) 5,781.54 -0.06%

FTSE 100 - Risers

Vodafone Group (VOD) 102.60p 2.09%

Metlen Energy & Metals (MTLN) 45.22p 1.40%

Smiths Group (SMIN) 2,466.00p 1.23%

AstraZeneca (AZN) 14,208.00p 1.21%

Mondi (MNDI) 921.60p 1.10%

Babcock International Group (BAB) 1,403.00p 1.08%

Persimmon (PSN) 1,367.50p 1.03%

Halma (HLMA) 3,654.00p 1.00%

Admiral Group (ADM) 3,054.00p 0.99%

SEGRO (SGRO) 725.40p 0.86%

FTSE 100 - Fallers

Flutter Entertainment (DI) (FLTR) 16,105.00p -2.98%

NATWEST GROUP (NWG) 643.60p -2.57%

Fresnillo (FRES) 3,584.00p -2.56%

BP (BP.) 421.15p -2.48%

Shell (SHEL) 2,692.00p -2.00%

Hikma Pharmaceuticals (HIK) 1,554.00p -1.96%

Diageo (DGE) 1,613.00p -1.89%

Antofagasta (ANTO) 3,480.00p -1.75%

easyJet (EZJ) 513.80p -1.61%

Entain (ENT) 761.40p -1.35%

FTSE 250 - Risers

Princes Group (PRN) 480.25p 2.18%

Mitchells & Butlers (MAB) 278.00p 2.02%

Barr (A.G.) (BAG) 629.00p 1.94%

VinaCapital Vietnam Opportunity Fund Ltd. (VOF) 478.00p 1.70%

Taylor Wimpey (TW.) 107.35p 1.56%

Moonpig Group (MOON) 208.00p 1.46%

Avon Technologies (AVON) 1,862.00p 1.42%

Edinburgh Worldwide Inv Trust (EWI) 226.00p 1.35%

Morgan Advanced Materials (MGAM) 226.50p 1.34%

Worldwide Healthcare Trust (WWH) 383.00p 1.32%

FTSE 250 - Fallers

Pan African Resources (PAF) 123.40p -4.34%

Raspberry PI Holdings (RPI) 305.40p -2.92%

Carnival (CCL) 2,338.00p -2.83%

Harbour Energy (HBR) 188.40p -2.69%

Ithaca Energy (ITH) 151.70p -2.38%

SSP Group (SSPG) 194.90p -2.06%

Energean (ENOG) 889.50p -2.04%

SDCL Efficiency Income Trust (SEIT) 52.00p -1.89%

RTW Biotech Opportunities Ltd (RTW) 2.16p -1.82%

Hilton Food Group (HFG) 492.00p -1.80%