FTSE 100 down 0.2, FTSE 250 off 0.2

Aug 16 Reuters The FTSE 100 index continued its selloff on Wednesday after data showed that underlying inflation remained high, building a case for more interest rate hikes by the Bank of England BoE, while Marshalls fell on lower halfyear profit.

The exporterheavy FTSE 100 index fell 0.2 by 0704 GMT, languishing at over onemonth lows as the sterling rose 0.14 to 1.2718, right after the data.

Annual consumer price inflation cooled to 6.8 in July from June39;s 7.9, as the BoE and a Reuters poll of economists had predicted.

However, core inflation came in at a hotterthanexpected 6.9 in July, while service rose to 7.4 from 7.2 in June.

Industrial metal miners shed 1.1, leading sectoral losses, after data showed top metals consumer China39;s new home prices fell for the first time this year in July, adding to a string of downbeat data from Beijing.

Midcap stocks also declined 0.2.

Marshalls shares fell 1.1, after the firm reported a 26 slump in halfyear profit.

Reporting by Siddarth S in Bengaluru; Editing by Nivedita Bhattacharjee

Source Reuters