Shares in each of the major British grocers fell on the back of moves by Amazon to slash prices at the Whole Foods business it took ownership of this week.
Both Tesco and Sainsbury’s saw their share prices dip more than 1.5pc this morning as did rival Marks and Spencer, which was down nearly 1.4pc and whose more upmarket food offering could be considered a more direct competitor to Whole Foods.
The biggest hit came for investors in Morrison’s, whose shares are down 2.6pc. The larger fall here could be due to the uncertainty about the future of Amazon’s wholesale agreement to sell fresh food in the UK with the supermarket.
Amazon pledged last week to cut prices on a range of items once it took ownership of Whole Foods this week and made good on its threat after slashing the cost of items for customers of tomatoes, to avocados to beef mince and chicken.