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FTSE 100 flat, FTSE 250 down 0.2%

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B&M falls after annual profit drop warning

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Imperial Brands ( IMBBF ) higher after share buyback plans

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Shell advances after upbeat Q3 LNG forecast

Oct 7 (Reuters) - London's FTSE 100 was little changed

on Tuesday as investors paused after last week's rally, with

overall market declines being offset by gains in major energy

stocks.

The blue-chip index was flat at 9,480.84 as of 1050

GMT, while the mid-cap FTSE 250 slipped 0.2%.

Retailers led declines, slipping 0.8%. B&M

fell 5.5% to its lowest level in over five years after

the discount retailer warned of a drop in its annual profit amid

weak sales.

It experienced the biggest drop on the FTSE 250.

The latest study from Halifax showed the rise in British

housing prices was slower than expected at 1.3% in 12 months and

were the weakest since April 2024.

Homebuilders, including Vistry and Bellway ( BLWYF ),

declined, bringing down the household goods and construction

sector by 0.7%.

On the flip side, energy stocks gained 1.3%.

Oil major Shell gained 1.6% after lifting its

third-quarter LNG production forecast.

The FTSE 100 had rallied to record highs last week, on a

boost from beaten-down healthcare stocks that saw some investor

interest after the U.S. government inked a deal with drug giant

Pfizer, reducing some uncertainty around the sector.

The benchmark also hit an intraday record high on Monday but

retreated after the French prime minister's resignation brought

fiscal and political stability concerns to the forefront.

Analysts expect markets to be in a wait-and-watch mode in

the absence of major catalysts and the ongoing U.S. government

shutdown.

Among other stocks, Imperial Brands ( IMBBF ) gained 2.1%

after the Winston cigarette maker announced an additional share

buyback of 1.45 billion pounds ($1.95 billion).

Rentokil advanced 2.4% to top the FTSE 100 after

Bernstein double-upgraded its rating on the pest control company

to "outperform" from "underperform".