Japan's 9.0 magnitude earthquake causes Burberry's share price to plummet

The biggest stock price in the UK opened slightly on Monday after the nuclear power plant spill after the Great East Japan Earthquake caused a rise in energy stocks. However, due to the market's fear of a drop in demand for luxury goods, Burberry's stock price fell sharply.

At 9:32 GMT, the UK FTSE100 Index rose 5.18, an increase of 0.1% to 5833.85 points.

The impact of the Great East Japan Earthquake on British stock prices was different. Burberry, the fashion company, topped the list. As investors worried about the demand for high-end products, the decline was 5.4%.

Although the British listed insurance company did not suffer losses in Japan, due to investor sentiment, the stock price has also been affected by the earthquake. StandardLife fell 1.9% and Resolution fell 1.5%.

However, temporary power supplier Aggreko topped the list with 5.3%, while energy company BG Group directly benefited from sudden increase in demand due to severe nuclear power supply losses after the Japan earthquake.

Both of the above two stocks recorded huge trading volumes.

UBS pointed out in a report that “the leakage of nuclear power plants has caused the demand for Japan (liquefied natural gas) to soar. This will reduce the global oversupply of LNG and support the recovery of European gas and energy prices”.

Coal-fired suppliers Xstrata and Drax Group also benefited, as demand for non-nuclear energy sources is bullish.

Other mineral resources have also received significant support, Rio Tinto's index rose by 2%.