FTSE 250 hits new one-month low

UK's midcap index hit a fresh one-month low on Tuesday as a looming gas crisis in Europe and data showing slower-than-expected growth in business activity exacerbated fears of recession, reports Reuters.
The domestically oriented FTSE 250 slipped 0.1 per cent, down for a third consecutive session, as soaring UK gas prices added fears of surging inflation that has restrained the economy.
The exporter-heavy FTSE 100 slid 0.3 per cent, dragged by pharma and consumer companies.
But oil majors Shell and BP inched higher, supported by rising crude prices.
A closely watched survey showed growth in Britain's private sector slowed to a crawl in August as factory output fell and the larger services sector eked out only a modest expansion, adding to signs recession may be looming.
"Although they're still growing, there's a fear that they could slip into contraction territory," said David Madden, market analyst at Equiti Capital in London.
"Combined with that, the Bank of England (BoE) have hiked interest rates loads of times but they're not getting inflation under control. So now they'll probably keep hiking rates and compounding the overall issue."
British consumer price inflation is set to peak at 18.6 per cent in January, more than nine times the BoE's target, an economist at US bank Citi said on Monday, raising his forecast once again in light of the latest jump in energy prices.
Investors expect another 50 bps rate hike when the central bank meets next month.
The Financial Times reported Liz Truss is planning to take emergency action to address the cost of living crisis without an accompanying economic forecast soon after becoming prime minister.