U.S. Loss Pressures Market
May 11, 2011
The Financial Times-Stock Exchange 100-Share Index tumbled 33.7 to 3885 on volume of 601.9 million shares, after reaching a session high of 3921.1. The benchmark September futures contract fell to 3894 from Wednesday's close at 3941. The FT-SE 250 index of mid-capitalization stocks record less drastic losses, falling 5.7 to end the day at 4432.1. Stocks started the day marginally higher as investors sorted through a mixed batch of corporate earnings results. But the market quickly reversed after Wall Street opened with a sharp decline. The Dow Jones Industrial Average was down more than 40 points early in New York, dragged down by a stronger-than-expected second-quarter gross domestic product report. Among actively traded shares, Rolls-Royce fell 5.5 to 225.5 after the company posted a half-year pretax of 169 million pounds, compared with a gain of 70 million pounds for the same period in 2010. But property stocks were broadly higher after Slough Estates reported first-half profits that beat consensus expectations. Slough's pretax profit rose 14% to 37.4 million pounds in the first six months of 2011 from 32.8 million pounds last year. Its shares gained 10.5 at 247.5, down slightly from its session high of 250.5. The rally in Slough shares boosted others in the sector, with British Land up 8.5 to 463.5 and Hammerson ahead 2 to 385.
