Brexit fears and more disappointing data from China upset the FTSE 100 Index.
The top flight dropped 65 points to 6,165 after an ICM phone poll for the Guardian showed the Leave campaign taking the lead by about four percentage points, although that excluded ‘don’t know’ voters.
China’s manufacturing index meanwhile showed growth in May, albeit the figure of 50.1 was unchanged from the month before and the lowest positive number possible.
A modest dip in the price of a barrel of Brent crude to US$49.4 also weighed on the index, as BP (LON:BP.) backtracked nearly 2% to 350.6p, and Cairn Energy PLC (LON:CNE) leaked 2.1p to 192.8p.
In small-cap land, the FTSE AIM 100 eased 0.5% to 3,470.
Support services specialist Pennant International Group PLC (LON:PEN) ticked up 19.65p to 53.9p as it won two aeronautical engineering training contracts in the Middle East.
Deltex Medical Group plc (LON:DEMG) lifted gave back early gains to 4.33 p on news that a clinical trial of its oesophageal Doppler monitoring technology showed substantial reductions in post-operative complications.
Medical device group Tissue Regenix Group PLC (LON:TRX) advanced a penny to 21.75p after it appointed Professor Shervanthi Homer-Vanniasinkam as a non-executive director.
At the other end of the scale, Pantheon Resources PLC (LON:PANR) dropped 3.2% to 174p as the US oil & gas explorer reported delays in fracking a well in Texas.
Back in the blue-chip index, Halfords PLC (LON:HFD) and Wolseley were both off the pace, down 6% to 412.1p and 3,814p respectively.
Halfords reported a slowdown in cycling sales and Wolseley PLC (LON:WOS) flagged up mixed US trading.
The pharmaceutical industry was topping the ranks of winners with Shire Plc (LON:SHP) gaining 1.8% to 4,366p and Mediclinic International (LON:MDC) putting on 0.8% to 874p, up just over 1.6%.
FTSE 100 open
The FTSE 100 Index fell into the red on Wednesday as a poll showed a heightened possibility of the UK leaving the EU.
The top flight dropped 39.92 points to 6190.87 after an ICM phone poll for the Guardian showed the Leave campaign taking the lead by about four percentage points, although that excluded ‘don’t know’ voters.
Ipek Ozkardeskaya at London Capital Group said: “The FTSE and the pound are both under pressure on news that the latest ICM/Guardian telephone survey flipped to ‘Leave’.
“The FTSE futures slipped below the 6200 handle for the first time in a week.”
A modest dip in the price of a barrel of Brent crude to US$49.4 also weighed on the index, as BP (LON:BP.) backtracked nearly 1% to 353.9p, Cairn Energy PLC (LON:CNE) leaked 1.3p to 193.6p and Royal Dutch Shell (LON:RDSB) reversed 0.5p to 1660p.
In small-cap land, support services provider Pennant International Group PLC (LON:PEN) ticked up 14.25p to 48.5p as it won two aeronautical engineering training contracts in the Middle East.
Deltex Medical Group plc (LON:DEMG) lifted 0.25p to 4.625p on news that a clinical trial of its oesophageal Doppler monitoring technology showed substantial reductions in post-operative complications.
Medical device group Tissue Regenix Group PLC (LON:TRX) advanced a penny to 21.75p after it appointed Professor Shervanthi Homer-Vanniasinkam as a non-executive director.
At the other end of the scale, Pantheon Resources PLC (LON:PANR) dropped 5.8% to 169.25p as the US oil & gas explorer reported delays in fracking a well in Texas.
Back in the blue-chip index, Halfords PLC (LON:HFD) and Wolseley were both off the pace after Halfords reported a slowdown in cycling sales and Wolseley PLC (LON:WOS) flagged up mixed US trading.
The pharmaceutical industry was topping the ranks of winners with Shire Plc (LON:SHP) gaining 2.5% to 4365 and Mediclinic International (LON:MDC) putting on 2.2% to 886p, up just over 1.6%.
Preview at 6.58am
FTSE 100 set for low key start
London was set for a lacklustre start after falls in most major stock markets overnight.
Financial spread bet firms see FTSE 100 shedding up to fifteen points to follow a 40 point fall to 6,231 on Tuesday.
Hangover from the UK’s long weekend is partly to blame, with many investors and traders still away for the half-term break.
US markets were equally sluggish with the Dow Jones Industrial Average 86 points lower at 17,787 as members of the US Federal Reserve continued to lay the foundations for an interest rate rise.
James Bullard, the St Louis Fed President, said markets was well prepared for another rate hike though, unsurprisingly, he did not give an indication when that might be.
Nasdaq and the S&P 500 also dipped, but by slightly smaller percentages.
Latest economic data from China was encouraging but Asian markets took that as a signal that monetary stimulus may be over, sending Hong Kong and Shanghai lower.
China's offical manufacturing index index held firm at 50.1 in May, a third month running it has been indicating an expansion of the economy.
Any reading above 50 indicates growth but economists said the economy remained sluggish nonetheless.
Tokyo was the worst of the Asian markets as it ran into profit taking after a five day rising streak.
UK corporate news today revolves around bike and car parts retailer Halfords and building materials giant Wolseley.
Halfords said it was expecting group pre-tax profit for the year to April 1 to be between £78mln and £82mln.
Wolselsey's third quarter, meanwhile, is expected to follow the pattern of its first two suggests broker Numis.
"US should continue to show good growth in construction activities, while the impact of Industrial related slowdown should be lessening in H2 though Canada is likely to remain weak."