# FTSE 100 stalls as Rio Tinto, healthcare stocks weigh Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2022-08-11 Category: INVESTING Category URL: https://financedigest.com/category/investing Meta Title: FTSE 100 drops as Rio Tinto, GSK drag; prospect of U.S. Meta Description: Get the latest update on the FTSE 100 as it falls due to Rio Tinto and healthcare stocks, while midcap index struggles post two-month high. URL: https://financedigest.com/ftse-100-stalls-as-rio-tinto-healthcare-stocks-weighhtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/2022-08-11t073408z1lynxmpei7a08trtroptp4lse-results-1736815488767-compressed.jpg) By Sruthi Shankar (Reuters) -Britain’s top share index dipped on Thursday, weighed down by Rio Tinto and healthcare stocks, while the midcap index struggled after hitting a two-month peak earlier as prospect of higher U.S. interest [rates kept investors](https://www.financedigest.com/uk-stocks-slip-as-rate-hike-worries-grip-investors.html "UK stocks slip as rate hike worries grip investors") wary. The FTSE 100 dropped 0.1%, with Rio Tinto [falling 3.8% as the miner traded](https://www.financedigest.com/stocks-fall-treasury-yields-rise-upon-final-2022-trading-day.html "Stocks fall, Treasury yields rise upon final 2022 trading day") without entitlement to the latest dividend payout. Drugmaker GSK slid 2.8% after heavy [selling in the previous session amid](https://www.financedigest.com/big-bank-ceos-to-sell-lawmakers-on-relief-diversity-efforts-amid-economic-regulatory-challenges.html "Big bank CEOs to sell lawmakers on relief, diversity efforts amid economic, regulatory challenges") chatter over potential negative implication from U.S. lawsuits over Zantac, a drug that was withdrawn in 2019. Haleon, a [consumer health company](https://www.financedigest.com/more-than-twice-as-many-consumers-trust-customer-reviews-over-companies-themselves-according-to-research-from-smart-money-people.html "More than twice as many consumers trust customer reviews over companies themselves according to research from Smart Money People") recently spun off from GSK, dropped 7.9%. The domestically focussed [FTSE 250 index also gave up earlier gains](https://www.financedigest.com/londons-ftse-100-edges-higher-set-for-fourth-weekly-gain.html "London’s FTSE 100 edges higher, set for fourth weekly gain") to slip 0.1%. [Global equities](https://www.financedigest.com/rate-rise-fears-prompt-third-week-of-global-equity-funds-outflows.html "Rate rise fears prompt third week of global equity funds outflows") climbed on Wednesday after softer-than-expected U.S. [inflation data](https://www.financedigest.com/stocks-mixed-dollar-gains-after-robust-inflation-jobs-data.html "Stocks mixed, dollar gains after robust inflation, jobs data") reduced bets of a supersized rate hike by the Federal Reserve next month. However, policymakers were quick to [say that they will continue to tighten monetary policy until price](https://www.financedigest.com/buy-off-plan-to-beat-stalling-house-prices-and-falling-rental-yields-says-jean-liggett.html "“Buy off-plan to beat stalling house prices and falling rental yields” says Jean Liggett ") pressures are fully broken. [“Market pricing suggests that investors are more dovish than what we would expect the Fed](https://www.financedigest.com/markets-start-signalling-fed-may-be-going-too-far-amundi.html "Markets start signalling Fed may be going too far – Amundi") to deliver,” said Karim Chedid, BlackRock’s head of investment strategy for its iShares unit in the EMEA region. You could [see more volatility in rate](https://www.financedigest.com/ecb-governors-see-rising-risk-of-rate-hitting-2-to-curb-inflation-sources.html "ECB governors see rising risk of rate hitting 2% to curb inflation – sources") and equity markets. A [stock market rally](https://www.financedigest.com/asian-stocks-rally-as-bank-jitters-calm-alibaba-lifts-mood.html "Asian stocks rally as bank jitters calm, Alibaba lifts mood") since June lows has helped drive the FTSE 100 and the midcap FTSE 250 near two-month highs, but many strategists doubt if the gains can sustain amid growing concerns of a recession. Focus will now be on the preliminary reading of Britain’s GDP on Friday, [expected to show a contraction](https://www.financedigest.com/contract-caterer-compass-expects-2023-profit-growth-to-top-20.html "Contract caterer Compass expects 2023 profit growth to top 20%") during the second quarter. Britain will only feel the full impact of [higher interest rates in late 2023 and there is unlikely to be any return of quantitative easing](https://www.financedigest.com/wall-street-stocks-power-higher-as-treasury-yields-and-dollar-ease.html "Wall Street stocks power higher as Treasury yields and dollar ease") for at least a few years, Bank of England chief economist Huw Pill said. London-listed [shares of Antofagasta slipped 1.6% after the Chilean miner reported](https://www.financedigest.com/tim-shares-slide-as-reported-grid-bids-disappoint.html "TIM shares slide as reported grid bids disappoint") a fall in half-year profit. UK-listed shares of Dubai-based payments processor Network International jumped 11.5% as it announced a [stock buyback programme and reported](https://www.financedigest.com/influx-of-one-time-investors-swapping-stocks-for-bricks-and-mortar-reports-agency.html "Influx of ‘one-time’ investors swapping stocks for bricks and mortar reports agency") strong half-year results. (Reporting by Sruthi Shankar in Bengaluru; Editing by Uttaresh.V and Shailesh Kuber) --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---