By Sara Sjolin, MarketWatch
LONDON (MarketWatch) -- U.K.'s FTSE 100 index dropped for a
sixth-straight week on Friday with RSA Insurance PLC tumbling after
the chief executive resigned, while ARM Holdings PLC rallied on
news Google may use its technology.
The benchmark index lost 0.1% to close at 6,439.96, ending the
week 1.7% lower.
RSA Insurance Group slumped 7.2% after Chief Executive Simon Lee
resigned and the company warned that its troubled Irish unit will
hit 2013 earnings.
Oil firms further slipped as oil prices dropped and UBS cut the
oil and gas sector to neutral from overweight. Royal Dutch Shell
PLC (RDSB) dropped 1% and BP PLC (BP) lost 1.1%.
Centrica PLC gave up 0.6% after Société Générale cut the
gas-utility firm to hold from buy.
On a more upbeat note, shares of ARM Holdings (ARMHY) jumped 3%
after Bloomberg reported that Google Inc. (GOOG) is considering
making its own server processors, using technology from the U.K.
chip designer.
Among other stocks, shares of AstraZeneca PLC (AZN) rose 1.8%
after the drug maker said an experimental gout drug met its goal in
a late-stage clinical trial.
Most mining firms posted small gains after UBS lifted the sector
to overweight from neutral. Randgold Resources Ltd. moved 1.8%
higher, Glencore Xstrata PLC (GLCNF) slipped 0.3% and Fresnillo PLC
added 0.2%.
Anglo American PLC , however, lost 0.4% after Deutsche Bank cut
the miner to hold from buy.
Outside the main index in London, Thomas Cook Group PLC slid
3.2% after Nomura cut the travel operator to reduce from neutral.
The analysts expressed concerns about the management's margin
targets and said the recent outperformance was due to headlines and
"low-hanging fruit."
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