Investing.com -- British stocks got off to a sluggish start to the week, slipping at Monday’s open, as the pound held just above $1.36 and Shell (LON: SHEL ) shares fell following a downbeat trading update.

As of 0749 GMT, the blue-chip index FTSE 100 dipped 0.1% and the British pound dropped 0.3% against the dollar to 1.36.

DAX index in Germany rose 0.3%, the CAC 40 in France gained 0.08%.

Shell warns of softer Q2 performance

Shell shares dropped over 3% after the energy giant issued a downbeat second-quarter trading update, pointing to weaker performance in its downstream operations.

The company forecast production at 900,000–940,000 barrels of oil equivalent per day (kboe/d), compared to 927,000 kboe/d in the first quarter. LNG liquefaction volumes are expected at 6.4–6.8 million tonnes, versus 6.6 million tonnes in the previous quarter.

Analysts at RBC Capital Markets described the guidance as disappointing, particularly highlighting concerns in the Chemicals and Products segment.

Renold flags weak start to FY26

In other market news, British industrial machinery maker Renold reported that its early fiscal 2026 product sales volume has fallen below year-ago levels.

The company indicated sales volumes are likely to remain weak through the first half of the fiscal year as economic uncertainty causes customers to delay purchases.

Renold noted that pricing actions largely offset slower first-quarter sales.

Ferrexpo (LON: FXPO ) output slumps 40% in Q2

Iron ore producer Ferrexpo reported a 40% sequential decline in second-quarter production on Monday, as suspended tax refunds in Ukraine squeezed the company’s liquidity.

Ferrexpo shares fell 2.5% following the announcement.

U.K. house prices stall in June

British house prices showed no change month-on-month in June, according to figures released by mortgage lender Halifax.

The stagnation matched expectations from economists.

Halifax revised its May figures, showing a 0.3% monthly decline rather than the previously reported 0.4% drop. Despite the flat monthly performance, house prices were 2.5% higher in June compared to the same month a year earlier.

China to curb medical device procurement from EU

In international news, China will impose reciprocal curbs on medical-device procurement for companies based in the European Union.

EU-based companies will be excluded from Chinese government procurement for certain devices if the value exceeds $6.3 million, according to a statement from the Ministry of Finance.

U.K. rules out immediate end to two-child benefit cap

Meanwhile, the U.K. government has talked down hopes that the two-child cap on parental benefits might be scrapped, as Prime Minister Keir Starmer seeks to control spending.