StockMarketWire.com - UK stocks extended their losses during the afternoon, as the strong pound hit overseas earners while the domestic orientated names were more resilient.

At 1630, the benchmark FTSE 100 index was down 52.42 points, or 0.72%, at 7.229.92.

Lloyds dropped 0.08% to 50p after the bank suspended a share buyback programme, owing to a spike in claims for mis-sold payment protection insurance, or PPI, ahead of a 29 August complaints deadline.

The lender said it now expected to make a charge for PPI claims of £1.2bn-to-£1.8bn for the third quarter.

Associated British Foods fell 2.57% to £22.93, as it announced that same-store sales at its Primark budget department store chain were expected to fall 2%, amid a tough UK trading environment marred by Brexit uncertainty.

Consumer goods group UP Global Sourcing, which trades as Ultimate Products, was having a better day, advancing 1.9% to 72.9p as it forecast a 51% jump in annual adjusted profit.

Private equity investor HG Capital Trust rallied 5.7% to 236.25p after it booked a total return of 14% in the first half of its financial year.

Technology-focused adviser and investor MXC Capital gained 7.9% to 102.5p, having forecast a return to the black, while also announcing a proposed demerger of its transactional businesses.

Communications software provider Cerillion jumped 7.19% to 171.5p on the back of news that it had won a contract worth £3.7m from a telecoms provider in Asia.

Aviation company Stobart gave up early gains and was 2.59% lower at 135.4p as it announced its energy division's management would share an award of £5.3m after the unit's equity valuation more than doubled in three years.

Oil explorer Petro Matad rallied 6.6%% to 8.13p earlier in the day after it announced that a new well in Mongolia had presented 'encouraging' results and would be subject to a testing programme. However, later profit taking saw it close down 1.31% to 7.53p.


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