UK stocks fall more than 2 per cent as Russia attacks Ukraine

UK’s main stock indexes plunged on Thursday, tracking a sharp drop in global equities as investors shed riskier assets, after Russian forces launched an invasion of Ukraine.

The benchmark FTSE 100 index (.FTSE) fell 2.6 per cent at 0805 GMT, while the domestically focussed mid-cap index (.FTMC) slumped 2.9 per cent.

Russia fired missiles at several cities in Ukraine and landed troops on its coast on Thursday, officials and media said, after President Vladimir Putin authorised what he called a special military operation.

The United States and its allies will impose “severe sanctions” on Russia, US President Joe Biden said.

However, losses on the commodity-heavy FTSE 100 were smaller than its European peers (.STOXX), helped by Shell (SHEL.L) gaining 0.6 per cent as oil prices surged, while precious metals miner Fresnillo (FRES.L) jumped 6 per cent as gold prices surged with investors fleeing to safe-haven assets.

Britain’s largest high street bank Lloyds fell 6.8 per cent after missing profit expectations.