The FTSE 100 dipped into the red in early Thursday trade despite firmer Asian markets on reports that China is ready to engage in positive conversations to prevent a trade war with the US.
About 45 minutes into the session, the blue-chip index was down 37 points (0.44%) at 8,239.
Among the morning's gainers, Sainsbury's shares are up despite predicting its profits will be flat this around the £1 billion mark. The supermarket chain faces a number of headwinds, including higher national insurance charges and the looming trade war.
Shares in Dunelm Group are also higher after saying it expects profits for the 2025 financial year to be in line with market expectations, despite ongoing consumer uncertainty. The homewares group reported a 6.3% rise in sales for the 13 weeks to 29 March, with growth across homewares and furniture categories.
Rentokil Initial said its North American business had a soft start to the year, with organic revenue growth of just 0.7% in the first quarter. The pest control group blamed weak lead generation and lower contract sales, particularly across its residential and commercial segments.
And Deliveroo says it is on track to meet its full-year targets, despite inflation, weaker consumer confidence, and growing competition in the food delivery space.