London close: US rally lifts Footsie
London's blue chips finished well ahead, though off their best for the day as miners and financials rallied.
A strong start on Wall Street helped the recovery by the miners, with Kazakhmys, Rio Tinto and BHP Billiton the pick of the bunch.
Old Mutual was also strong as fund managers and other financials picked up. Old Mutual also got a lift from a rumour that Standard Chartered is considering buying its NedBank arm.
Hedge fund group Man received a very lukewarm response to the float of its US brokerage arm. MF Global started trading in the US well below its float price of $30, which itself was well down on the original price range.
Supermarket operator Wm Morrison is also doing well despite saying that sales growth has slowed slightly since its AGM in May. It said like for like sales in the 23 weeks to 15th July increased by 3%.
Vodafone reiterated its current year outlook as it said the financial performance for the quarter to June was in line with expectations. Group revenue rose 7.5% to £8.3bn last year, with organic growth of 4.0%, while service revenue growth of rose 8% and 4.2% on an organic basis.
Drug major GlaxoSmithKline could be granted a marketing authorisation for its cervical cancer vaccine Cervarix in the coming months after the European committee for human medicinal products gave a positive opinion.
Drinks group Diageo said it will appoint Franz Humer as the next chairman of Diageo from 1 July 2008, to replace the retiring Lord Blyth of Rowington.
Away from Footsie, oil explorer Venture Production said private equity group 3i and Arclight Capital Partners have increased their stake in the group to 9.9%. The group said 3i and ArcLight have made a total investment of over £200m in Venture, taking their combined interest to 9.9%.
Baby goods retailer Mothercare has reported a 4.1% hike in sales during the 15 weeks to 13 July thanks to improvements in product, sourcing, stores and distribution. "Our UK business is showing steady growth and our International and Direct businesses have both performed strongly," said chairman Ian Peacock in his AGM statement.
Colt Telecom saw core earnings rise by €3.5m in the second quarter to €67.9m, but it said trading in Germany continues to be "difficult and uncertain". The company reported a profit before tax and exceptionals for the three and six months ended 30 June of €8.9m versus a €9m loss the year before, although sales fell 8.8% to €410m.
Logistics group Wincanton said the new financial year has started well, with results in line with expectations for the full year.
HBOS upped its take in bid target Quintain Estates to just short of 14.2%.
Sales at recovering outdoor clothing retailer Blacks Leisure jumped 6.3% in the first 19 weeks of the current financial year following a decent performance from camping gear chain Millets.
Adjusted net asset value rose 8.1% to 642p at Great Portland Estates in the quarter to 30 June, with the property firm helped by good market conditions in central London. The group said its portfolio, including its share of joint ventures, increased by £99m, or 6.1%, to £1.73bn from the end of March 2007.
Securities systems specialist Visonic alarmed shareholders today with its second profits warning of the year.
FTSE 100 - Risers
Antofagasta (ANTO) 725.50p +5.37%
BAE Systems (BA.) 421.25p +4.79%
Old Mutual (OML) 175.90p +4.58%
Persimmon (PSN) 1,175.00p +4.54%
Vedanta Resources (VED) 1,804.00p +4.22%
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Morrison (Wm) Supermarkets (MRW) 328.00p +3.88%
FTSE 100 - Fallers
Mitchells & Butlers (MAB) 863.00p -3.25%
British Energy Group (BGY) 523.00p -1.23%
Cadbury Schweppes (CBRY) 638.00p -1.01%
Standard Chartered (STAN) 1,671.00p -0.77%
Reckitt Benckiser (RB.) 2,720.00p -0.77%
Enterprise Inns (ETI) 715.50p -0.76%
FTSE 250 - Risers
Shaftesbury (SHB) 605.00p +8.62%
Venture Production (VPC) 815.50p +7.51%
Quintain Estates & Development (QED) 960.00p +5.21%
Minerva (MNR) 325.25p +5.17%
Derwent London (DLN) 1,884.00p +5.08%
COLT Telecom Group S.A. (COLT) 158.50p +4.97%
FTSE 250 - Fallers
Aquarius Platinum (AQP) 1,615.00p -3.41%
Collins Stewart (CLST) 230.00p -2.95%
Northern Foods (NFDS) 115.25p -1.71%
Admiral Group (ADM) 855.50p -1.61%
SSL International (SSL) 451.25p -1.26%
PZ Cussons (PZC) 164.00p -1.06%
