Michele Maatouk WebFG News | 19 May, 2017 08:54 - Updated: 09:54 | | |
London stocks edged higher in early trade, taking their cue from an upbeat session on Wall Street, where shares rebounded from this week's Trump-inspired selloff.
At 0830 BST, the FTSE 100 was up 0.4% to 7,462.68, with miners racking up healthy gains as copper prices rose. Meanwhile, the pound was 0.3% higher versus the dollar at 1.2977.
Stocks in the US ended higher on Thursday, recovering from losses earlier in the week amid concerns that President Trump could be impeached.
Oanda analyst Craig Erlam said: "Investors are clearly still a little anxious about the political situation in the US, which showed to an extent on Wednesday, but as it stands I don’t think they’re too concerned. Wednesday’s sell-off may have shocked a few people but US indices remain in the same range they’ve traded in for the last few months and as long as that remains the case, it would suggest that investors are not too concerned."
In corporate news, Entertainment One pushed higher after announcing the start of production on a new series of Peppa Pig.
Private landlord group Grainger was also in the black as it hiked its interim dividend 10% after a first half where it secured half of its investment target and cut costs in a market where the proportion of privately rented homes is at its highest levels since records began in 1980.
Aviva was higher but Legal & General dropped after they updated the market on their Solvency II positions.
Close Brothers was firmer after reporting "solid" loan book growth in its banking division in the third quarter to the end of April, and saying it remains confident of delivering a good result for the full year.
Safestore advanced after saying it has refinanced its US private placement notes and amended bank facilities to extend the average maturity and lower the cost of its debt management by £34m a year.
Hikma Pharmaceuticals slumped as it updated its guidance on full year revenue to be $2bn-$2.1bn in constant currency after last week's rejection of its asthma drug by US regulators.
Just Eat was on the back foot after the Competition and Markets Authority said it is referring its proposed acquisition of Hungryhouse to an in-depth phase 2 investigation.
Senior was boosted by an upgrade at Raymond James, while SIG was lifted as Peel Hunt raised it to 'buy'.
However, Johnson Matthey and Experian were hit by downgrades from UBS and Jefferies, respectively, while Antofagasta fell after Deutsche Bank cut the stock to 'sell'. British Land and Land Securities were dented by downgrades to 'neutral' at JPMorgan Cazenove, while Thomas Cook was downgraded by Morgan Stanley.
On the data front, the CBI Industrial trends survey is at 1100 BST, with consensus for an unchanged reading of 4for May.
FTSE 100 - Risers
Anglo American (AAL) 1,081.50p 1.36%
Rio Tinto (RIO) 3,141.00p 1.27%
Fresnillo (FRES) 1,601.00p 1.27%
Shire Plc (SHP) 4,875.00p 1.26%
AstraZeneca (AZN) 5,196.00p 1.09%
Rolls-Royce Holdings (RR.) 858.50p 0.94%
Ashtead Group (AHT) 1,556.00p 0.91%
Taylor Wimpey (TW.) 200.20p 0.81%
Smiths Group (SMIN) 1,642.00p 0.80%
Glencore (GLEN) 293.30p 0.79%
FTSE 100 - Fallers
Hikma Pharmaceuticals (HIK) 1,589.00p -6.53%
Johnson Matthey (JMAT) 3,000.00p -2.60%
Experian (EXPN) 1,626.00p -2.05%
Land Securities Group (LAND) 1,074.00p -1.65%
Antofagasta (ANTO) 794.50p -1.43%
Legal & General Group (LGEN) 248.10p -1.12%
Centrica (CNA) 199.00p -0.95%
British Land Company (BLND) 633.50p -0.78%
Kingfisher (KGF) 365.30p -0.68%
Royal Mail (RMG) 431.20p -0.55%
FTSE 250 - Risers
Senior (SNR) 235.50p 5.99%
Berendsen (BRSN) 1,078.00p 3.06%
Renishaw (RSW) 3,462.00p 2.21%
SSP Group (SSPG) 482.60p 2.14%
SIG (SHI) 135.40p 2.03%
Syncona Limited NPV (SYNC) 151.40p 1.95%
Cineworld Group (CINE) 729.50p 1.74%
Electra Private Equity (ELTA) 2,694.00p 1.66%
IMI (IMI) 1,241.00p 1.64%
Virgin Money Holdings (UK) (VM.) 312.20p 1.53%
FTSE 250 - Fallers
Thomas Cook Group (TCG) 91.65p -3.73%
AO World (AO.) 148.30p -2.05%
PayPoint (PAY) 1,002.00p -1.28%
Clarkson (CKN) 2,731.00p -0.94%
Millennium & Copthorne Hotels (MLC) 458.00p -0.74%
NewRiver REIT (NRR) 344.60p -0.55%
Rank Group (RNK) 209.20p -0.52%
Brewin Dolphin Holdings (BRW) 324.50p -0.52%
Acacia Mining (ACA) 429.80p -0.51%
Daejan Holdings (DJAN) 6,970.00p -0.50%
Wall Street’s main indices gave up earlier gains to close lower on Thursday, as healthcare, materials and telecoms stocks dragged investor sentiment down late in the session.
The conclusion of the EU Council summit will be the main focus for markets on Friday, with no FTSE 350 companies expected to report results.
Walt Disney has announced an agreement to buy the entertainment assets of 21st Century Fox in a deal worth around $52.4bn, including a 39% stake in UK broadcaster Sky.
The Scottish government has announced it will increase the tax paid by the country’s highest earners, as it bids to raise extra money to fund wage increases in the public sector.
Stocks finished lower, tracking a weak start to trading on Wall Street and on the back of a mixed batch of economic data out of China overnight and a tweak in monetary policy by the People's Bank of China - a timely reminder perhaps of the potential ripple effects of US policy decisions and vice-versa.
London stocks finished lower on Thursday as the Bank of England stood pat on monetary policy, as widely expected, but amid dovishness across the Pond and on the other side of the Channel which resulted in a stronger Sterling.
The Bank of England kept policy on hold by a unanimous vote as had been widely-anticipated given previous guidance for a very gradual pace of tightening over the medium-term.
China's central bank tweaked two of its policy rates in what some analysts said was a bid to relieve pressure on the country's currency.
Bitcoin, the increasingly popular cryptocurrency has dominated Google’s top searches this year.
The European Central Bank has opted to keep all its main policy rates unchanged, with policy-makers reiterating that they expect to keep all their key rates as they are until well past the end of the ECB's net asset purchase programme.