UK's FTSE 100 slips as Bunzl's forecast cut weighs on market

By Nikhil Sharma

April 16 (Reuters) - Britain's benchmark index slipped on Wednesday as Bunzl's shares hit a multi-year low after the business supplies distributor lowered its annual forecast, while a softer domestic inflation print did little to aid investor sentiment.

As of 1020 GMT, the blue-chip FTSE 100 index .FTSE was down 0.3% and the midcap index .FTMC fell 0.5%. Both indexes rallied in the previous session after U.S. President Donald Trump indicated possible exemptions on auto-related levies.

Bunzl BNZL.L dropped 23.1%, set for its worst day on record, after the British company cut its 2025 forecast and paused its share buyback programme.

The stock weighed on the industrials sub-index .FTNMX502030, which fell 11%.

On Wednesday, data showed British inflation slowed to its weakest in three months in March, but higher bills and employer costs will pressure prices against the backdrop of Trump's trade war.

The data came ahead of the Bank of England's interest rate decision next month, where traders expect a quarter-point reduction by the central bank. 0#BOCWATCH

Global stocks also fell on Wednesday over the U.S.-issued restrictions on chip sales to China. Nvidia NVDA.O flagged $5.5 billion in charges due to the chip export controls, with its shares down 5.7% in premarket trading.

"It's still all connected with the concerns about global tariffs and slowdowns ... there's nervousness in the market. Any bad news or any hint of bad news is being punished severely," said Nick Saunders, CEO of Webull UK.

Limiting overall losses, the precious metals and mining sub-index .FTNMX551030 rose 4.8% to a more than three-year high after gold prices crossed $3,300 for the first time on safe-haven demand.

In other stocks, retailer WH Smith SMWH.L lost 5.1%. The company said it expects to meet full-year market expectations despite reporting a slight dip in first-half profit.

Shares of nanotechnology tools maker Oxford Instruments OXIG.L jumped 6.1%, the best individual performer on the midcap index. The company gave an annual profit forecast in line with expectations.

 
 For related prices, Reuters users may click on -  UK stock report     .L     FTSE index:         0#.FTS6  techMARK 100 index: .FTT1X         FTSE futures:     0#FFI:  Gilt futures:       0#FLG:         Smallcap index:    .FTSC  FTSE 250 index:     .FTMC          FTSE 350 index:    .FTLC  Market digest:      .AD.L          Top 10 by vol:     .AV.L  Top price gainers:  .NG.L          Top % gainers:     .PG.L  Top price losers:   .NL.L          Top % losers:      .PL.L 
     For related news, click on - UK hot stocks:      HOT and GB     Wall Street:          .N Gilts report:       GB/            Euro bond report GVD/EUR Pan European stock report: .EU Tokyo stocks:       .T             HK stocks:           .HK Sterling report:    GBP/           Dollar report:      USD/
     For company prices, click on - Company directory:  UKEQ          By sector:          FTAX 
     For pan-European market data, click on - European Equities speed guide................ EUR/EQUITY  FTSE Eurotop 300 index........................... .FTEU3  DJ STOXX index................................... .STOXX  Top 10 STOXX sectors........................ .PGL.STOXXS  Top 10 EUROSTOXX sectors................... .PGL.STOXXES  Top 10 Eurotop 300 sectors.................. .PGL.FTEU3S  Top 25 European pct gainers.................... .PG.PEUR  Top 25 European pct losers..................... .PL.PEUR