By Steve Goldstein
It was a classic rotation away from recovery plays into defensive and stay-at-home stocks after Austria announced a lockdown and Germany said it was contemplating such a move.
The FTSE 100 /zigman2/quotes/210598409/delayed UK:UKX +0.52% fell 0.6% to 7,211.56. .
British Airways owner International Airlines Group /zigman2/quotes/208070069/delayed UK:IAG -0.04% was the worst decliner, shedding 5%. Engine maker Rolls-Royce /zigman2/quotes/203646520/delayed UK:RR +0.04% and catering group Compass /zigman2/quotes/200043088/delayed UK:CPG -0.10% also lost ground.
Food delivery companies however rose, with Ocado Group /zigman2/quotes/207225647/delayed UK:OCDO +0.59% and Just Eat Takeaway.com /zigman2/quotes/216303066/delayed UK:JET -0.21% . Royal Mail , which has been buoyed by deliveries, and Lysol maker Reckitt Benckiser /zigman2/quotes/206856088/delayed UK:RKT +0.07% advanced.
So far there’s little indication the U.K. government will join the lockdown moves, though the infection rate in the U.K. is slightly higher than Germany’s. Prime Minister Boris Johnson is counting on the rollout of boosters to slow the tide.