BAowner IAG trades near 1month low
Beazley gains on reporting surge in gross premium
FTSE 100 down 0.6, FTSE 250 sheds 1.2
Both indexes set for weekly losses

May 6 Reuters UK39;s top share index fell on Friday, with British Airways owner leading losses after disappointing results, while a recession warning from the Bank of England weighed on sentiment.

International Consolidated Airlines Group tumbled 6.6 to a near onemonth low after it reported a biggerthanexpected quarterly operating loss and scaled back plans to ramp up shorthaul capacity at Heathrow airport.

The FTSE 100, which comprises global companies including miners and energy giants, dropped 0.6 to 7,456.4, with most subsectors in the red.

The British central bank warned on Thursday that the country risks a doublewhammy of a recession and inflation above 10 as it raised interest rates to their highest since 2009. 

The FTSE 100, while on track for weekly losses, has outperformed on a yeartodate basis as a surge in oil and metal prices as well as weakness in sterling has boosted commodity giants and exporters on the index.

The FTSE 100 is exposed to all the sectors that are causing inflation concerns, and that benefits the UK equity market, said Caroline Simmons, UK chief investment officer at UBS Global Wealth Management, who expects the index to hit 8,100 by December.

It hurts the economy because of the consumer squeeze but it benefits the FTSE 100. Now, of course, sterling has weakened and that39;s…