LONDON (ShareCast) - London danced to Wall Street’s tune today as US stocks retreated after Federal Reserve chairman Ben Bernanke urged banks to do more to help struggling home owners.

Admiral Group was the day’s worst performer. The insurer’s 2007 pre-tax profits came in better than expected but the group’s shares are lower after it said improved premiums in the UK car insurance markets would not be reflected in market results until 2008, adding that it will also be a much tougher year for its comparison website Confused.com. The shares received a further blow when Citigroup downgraded them to “hold” from “buy”.

Cable & Wireless was also on the slide as brokers expressed scepticism at the company’s ability to hit new growth targets for the next five years announced today.

Mining stocks provided some support for the Footsie with Kazakhmys, Anglo American, Lonmin and Vedanta all higher.

Schroders also had a good day. The fund manager saw profits for the year rise 35% though it said the difficult market conditions will have a “less favourable” impact on its business.

Oil services company Wood Group reported a 42% increase in full year pre-tax profit as surging energy prices drive continued growth across its three divisions.

Hedge-fund titan Man Group was firmer after broker Evolution Securities upgraded the stock to a “buy”.

The future is looking less bleak for RHM owner Premier Foods after it cut its dividend by nearly 50%, re-negotiated its banking covenants and agreed additional banking facilities to alleviate the pressure it is under from soaring wheat prices.

Sub-prime lender Provident Financial grew profits by 10.7% in 2007 and has made a strong start to 2008, it said Tuesday.

Jardine Lloyd Thompson is confident it can deliver profitable growth in 2008 after the insurance broker reported a better than expected 8% increase in full year underlying profit.

Profits soared 52% to a new record at Michael Page in 2007, in line with forecasts, leaving the specialist recruitment company confident about prospects for the group.

UK power generator Drax has announced the departure of finance boss Gordon Boyd during the second half of 2008 and said 2007 earnings dropped as a warm winter hit electricity wholesale prices.

Plant hire firm Ashtead Group saw third quarter profits jump as it said all three of its divisions continued to perform well in the period.

It was a good day to get a handle on conditions in the building trade.

Builders merchant Travis Perkins put in a solid performance in 2007, but cautioned that the current year has slowed with like-for-like sales well down on last year.

Irish building materials group CRH reported a 19% rise in full year pre-tax profits and said it expects earnings and profit growth in 2008.

Door and window maker Heywood Williams saw profits suffer at its US division due to the well publicised problems in the US housing market and warned that 2008 is likely to be a tough year.

Global Radio upped its indicated bid for GCap Media for a second time and is now offering 225p per share cash, about £370m, for the Capital Radio owner.

Meanwhile, PVC door maker Vista Group agreed an offer of 19.5p cash per share from Purple Spot, valuing the company at around £3m.

Chrome and nickel mining and processing firm Oriel Resources was wanted after admitting it has received a non-binding indicative proposal from Russian mining and metals outfit Mechel.

Online gaming group Sportingbet swung back into profit in the first six months despite results going against it.

Printed products group 4imprint posted good figures on an underlying basis and said the current year has started better than last year.

Cancer diagnostic group Genetix recovered a bit of lost ground today on news that revenue grew 48% in 2007 and the announcement of a maiden dividend.

Business transformation consultancy Axon Group saw strong revenue growth in all parts of its business in 2007. The shares fell sharply after the group said market conditions are becoming tougher even though it has seen no evidence of a slow-down in demand for its services in 2008. Altium Securities responded by cutting its stance on the stock to “hold” from “buy”, and trimming its price target to 550p from 650p.

Analysts at JP Morgan have initiated coverage of Capital & Regional with an "overweight" rating and a price target of 640p.

British Energy got the thumbs down from ING, however, as the Dutch banking group initiated coverage with a “sell” recommendation and a price target of 510p.

Electronic tagging specialist Dmatek reported a 5% rise in full year pre-tax profits and said it is looking to improve organic growth rates in 2008.

Lavendon was on the up after the hydraulic lift rental specialist said pre-tax profit rose 178% in 2007, with trading since the year-end in line with expectations.

Sub-prime lender Provident Financial grew profits by 10.7% in 2007 and has made a strong start to 2008.

Shares in hospital washer-disinfector supplier DawMed more than doubled as it won a major contract from the East Kent Hospitals NHS Trust.

QuestAir Technologies hit the heights after it upped its financial guidance for 2008 revenue following a new deal with ExxonMobil and announced cost cutting measures aimed at saving $1.25m a year.

Total Produce, spun off from Irish fruit distributor Fyffes, bloomed. The food producer boosted full year adjusted pre-tax profit by 7.9%, ahead of expectations.

Computer based imaging software systems firm Seeing Machines raced higher on news of a long-term multi-million dollar licence agreement for its driver monitoring technology.

Industrial metals company Ferrexpo was marked higher after Citigroup initiated coverage on the stock with a “buy” recommendation and a price target of 430p.

Meanwhile integrated ferrochrome producer International Ferro Metals surged ahead on further consideration of yesterday’s results. Engineering specialist Keller was another still deriving support from good figures yesterday.

FTSE 100 - Risers
Kazakhmys (KAZ) 1,645.00p +5.18%
Schroders (SDR) 962.50p +3.89%
Schroders NV (SDRC) 862.50p +3.73%
Lonmin (LMI) 3,437.00p +2.54%
Anglo American (AAL) 3,354.00p +2.41%
Compass Group (CPG) 339.75p +2.26%
Vedanta Resources (VED) 2,237.00p +2.15%
Cairn Energy (CNE) 2,650.00p +2.00%
London Stock Exchange Group (LSE) 1,343.00p +1.97%
ITV (ITV) 66.50p +1.68%

FTSE 100 - Fallers
Admiral Group (ADM) 845.00p -15.67%
Cable & Wireless (CW.) 157.00p -11.50%
Yell Group (YELL) 200.75p -6.84%
Taylor Wimpey (TW.) 160.00p -3.90%
International Power (IPR) 363.00p -3.33%
Old Mutual (OML) 117.90p -3.04%
Royal & Sun Alliance Insurance Group (RSA) 125.30p -3.02%
Home Retail Group (HOME) 251.25p -2.90%
Friends Provident (FP.) 123.60p -2.68%
HSBC Holdings (HSBA) 769.00p -2.66%

FTSE 250 - Risers
International Ferro Metals (IFL) 132.25p +8.85%
Premier Foods (PFD) 98.75p +7.34%
Keller Group (KLR) 674.50p +6.81%
Jardine Lloyd Thompson Group (JLT) 382.75p +6.32%
Ferrexpo (FXPO) 347.00p +5.87%
Capital & Regional (CAL) 525.50p +5.52%
RPS Group (RPS) 298.00p +5.11%
Galiform (GFRM) 85.75p +4.89%
Restaurant Group (RTN) 146.00p +4.29%
Meggitt (MGGT) 294.75p +4.06%

FTSE 250 - Fallers
Telecity Group (TCY) 227.75p -7.04%
Galliford Try (GFRD) 63.50p -6.62%
Redrow (RDW) 276.00p -6.60%
SSL International (SSL) 459.50p -5.45%
Close Brothers Group (CBG) 612.00p -3.77%
Filtrona PLC (FLTR) 179.50p -3.75%
Millennium & Copthorne Hotels (MLC) 400.25p -3.38%
JPMorgan Indian Inv Trus (JII) 368.00p -3.29%
F&C Commercial Property Trust (FCPT) 96.50p -3.26%
Punch Taverns (PUB) 618.00p -3.21%

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