Tesco drags down FTSE 100 after profits fall

Supermarket giant Tesco led the FTSE 100 lower this morning after revealing its profits had dropped off sharply.

The group's shares were down 3.2% at 347.6p by 9:55am,after it announced profits had dived 23.5% in the first half of the year. Peer Sainsbury's reported better numbers - with like-for-likes up 2.1% - but it also sold-off in morning trading, down 1.9%. Meanwhile the wider index was off 55 points at 6,404 as energy firms also pulled back, driven lower by falling oil prices. Tullow Oil was off 2.3% as the price of Brent crude came down to $107.6 per barrel. Losses in the UK and across Europe follow a rough session overnight for Japan where the Nikkei 225 retreated 2.2%. A combi...