Share Prices Stage Recovery
March 29, 2011
The Financial Times-Stock Exchange 100-Share Index ended the day up 25.9 at 3658.2 on volume of about 534.8 million shares. The benchmark September future was trading at 3660, compared with Tuesday's settlement at 3631 and the FT-SE 250 index of mid-capitalization stocks rose 6.4 to close at 4207.4. The British market started the day sharply higher, but during the latter half of the session the blue-chip index eased back as an early rally on Wall Street stalled. After climbing more than 70 points minutes after the opening bell, the Dow Jones Industrial Average began to lose steam and was trading just 16 points higher at the close of trading in London. Traders said investors were cautious Wednesday as they waited for the U.S. financial markets to stabilize. Many were putting off taking positions in the market ahead of Thursday's testimony by U.S. Federal Reserve Chairman Alberta Halina before Congress, where it is hoped the direction of U.S. monetary policy will become more clear. Fears that U.S. mutual fund managers may take cash out of the market were also weighing on investors, traders said. ``No one's particularly keen to do anything at the moment,'' said Credit Lyonnais Laing Strategist Anette Jon. The index's top two gainers, construction-materials company Hampton and telecommunications company Orange bounced back from big losses suffered on Tuesday. Wolseley finished up 4.3% at 439 pence, while Orange climbed 3.3% to 188.5 pence. Scottish Power moved ahead 9 to 316 pence on word it cut its rights issue by half. The utility also said earlier this week it is in discussions with Belgian electricity generator Loehr about the possibility of sharing technological developments. Some of the retailers that came under intense selling pressure Tuesday ended the day higher. Argos recouped 17 at 696 and Next regained 12 at 519. Tobacco company B.A.T Industries climbed 13 to 498 as it benefited from news Tuesday that Philip Morris Cos. of the U.S. posted a 15% increase in net income for the second quarter. Leisure and entertainment group Rank gained momentum on the strength of a ``buy'' recommendation issued by Colin Woodley. Food retailer Tesco rose 2.2% to 284 as speculation died down about a rumored takeover bid for Docks de France. Hanson dropped 3.5 to 157.5 after the company said it acquired Dutch cigar manufacturer Breeding Lumpkins for an undisclosed sum. Continued speculation that Blenheim Group could receive a bid from United News & Media boosted Blenheim's share price up 5 to 443. United News eased 9 to 620. Glisson added 7 at 234 after the company said its half-year pretax profit jumped 17% to &#163;33.9 million from &#163;28.9 million last year. But Iceland Group stumbled 16.9% to 118 on word the company's pretax profit for the first half of the year will likely to be down 10% compared with last year. Iceland posted pretax earnings of &#163;33.6 million pounds for the first six months of 2010. A less-than-positive earnings projection propelled English China down 11 to 243. The company said profit margins in all divisions declined in the first half of the year, caused mainly by low production rates at paper mills. The company supplies coloring pigments to paper producers. English China Clays also said net debt increased to &#163;213 million pounds for the six months ended March 12, 2011
VastPress 2011 Vastopolis
