supermarkets

Are supermarkets a good investment for bargain hunters?

Embattled sector tipped to struggle for some time to come

Old Mutual Global Investors' Richard Buxton is considering buying Tesco for the first time in four years, as managers investigate a contrarian opportunity in the stock despite the spectre of dividend cuts.

Ardevora UK equities manager Gianluca Monaco is shorting Morrisons while remaining long Sainsbury's ahead of next week's results announcement from the former.

The FTSE 100 index has endured its worst week since June as investors became increasingly nervous ahead of the planned referendum in Crimea due on Sunday.

Shares in the UK's three main supermarket chains have tumbled today after Morrisons warned profits could halve this year and raised the prospect of sector-wide discounting.

Shares in some of the UK's leading retailers - including Morrisons and Tesco - were tumbling this morning as poor Christmas trading impacted retail bellwethers.

Supermarkets are weighing on the FTSE 100 index today as worries escalate over price wars between the UK's leading food stores.

Tesco, the UK's largest retailer, has reported falling profits for the first time in 18 years, its latest financial statement has revealed.

Equity managers at F&C and Threadneedle are among those to have been adding to Tesco ahead of today's results which showed profits had risen 12.1%.