11/12/13 Market Movements

The FTSE closed down 15.59 points at 6,507.72.

Stock movements
The Norcross alpha alarm went off today as the stock approached its 25p sale price. The closing price was 23p.

 

Market news
The FCA today hit Lloyds Banking Group with the largest fine ever imposed by the FCA (previously FSA) for retail conduct failings. Lloyds were fined £28 million for what the FCA deemed “serious failings” in relation to their bonus schemes for sales staff.

The FCA findings showed that the bonus scheme pressurised staff to hit sales targets or risk being demoted and/or having their pay cut.

The fine could have been £35m had Lloyds not agreed to settle early.

Lloyds banking group shares dropped 1% off the back of this information today.

Currency news
The dollar rose for the first time in five days after optimism that the U.S. budget agreement will boost prospects for the Federal Reserve to start tapering its monetary stimulus.

Whilst the dollar rose, GBP decreased from a two-year high against the dollar as the Bank of England announced that there has been a “sharp and unexpected” decline in inflation since the summer.