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    July 10, 2007

    London retailers up amid general declines

    Filed under: Companies, Xstrata, Anglo American, Land Securities, BHP Billiton, Lonmin, Marks & Spencer, J Sainsbury, WH Smith, Arriva

    Equities markets in London saw declines on Tuesday.

    The FTSE 100 dropped 1.14 percent to 6,636.4, while the FTSE 250 was 1.08 percent lower to 11,732.1.

    Miners were lower after rumors circulated that BHP Billiton (LSE: BLT; ASX: BHP; NYSE: BHP) might be interested in bidding for US aluminium producer Alcoa (NYSE: AA).

    BHP Billiton was the worst performer on the 100 on the day, dropping 3.89 percent to £14.83.

    Elsewhere in the sector, Xstrata (LSE: XTA) dropped 3.33 percent to £32.48, while Anglo American (LSE: AAL) fell 3.61 percent to £32.04 and Lonmin was 3.64 percent lower to £41.54.

    The best performance on the day on the 100 came from property developer Land Securities (LSE: LAND), which added 4.8 percent to £18.35.

    Public transport group Arriva (LSE: ARI) had the best day on the 250 as it gained 7.92 percent to 770p after it was revealed that it had been awarded the UK Cross Country rail franchise.

    There were also gains in the retail sector.

    J Sainsbury (LSE: SBRY) was 1.05 percent higher to 577.5p, while Marks & Spencer (LSE: MKS) was up 1.26 percent to 640.5p on a trading update that was not as bad as had been anticipated.

    In the same sector on the 250, WH Smith (LSE: SMWH) added 2.04 percent to 411.75p.





    July 9, 2007

    Miners gain in London

    Filed under: Companies, Xstrata, Kazakhmys, Antofagasta, BHP Billiton, Tate & Lyle, Bovis Homes Group, Barratt Developments, Redrow

    In London on Monday the FTSE 100 added 0.34 percent to 6,712.7, while the FTSE 250 dropped 0.16 percent to 11,847.8.

    Most of the gains on the session were produced by the mining sector, which saw advances as copper prices remained strong and after JPMorgan (NYSE: JPM; TYO: 8634) raised target share prices for several of the miners.

    BHP Billiton (LSE: BLT; ASX: BHP; NYSE: BHP) gained 1.78 percent to £15.43, while Antofagasta (LSE: ANTO) was 2.71 percent higher to 681.5p.

    Xstrata (LSE: XTA) added 2.88 percent to £33.60 and Kazakhmys (LSE: KAZ) was up 4.21 percent to £13.60.

    Other gainers included food processor Tate & Lyle (LSE: TATE) which added 4.69 percent to 580p for the best performance on the 100.

    Housebuilders put in the worst performances of the session on both the 100 and the 250.

    Persimmon (LSE: PSN) dropped 4.12 on the 250 to £11.64, while on the 100 Bovis Homes fell 10.86 percent to 820.5p.

    Other decliners in the sector included Redrow (LSE: RDW), which was 5.36 percent lower on the 250 to 512p and Barratt Developments (LSE: BDEV), which was down 2.32 percent to 991.5p on the 100.

    The declines in the sector were blamed on caution in the face of higher interest rates.





    July 6, 2007

    Commodites-related shares rise in London

    Filed under: Companies, BG Group, Royal Dutch Shell, BP, Xstrata, Antofagasta, BHP Billiton, Vedanta Resources, Intercontinental Hotels Group, Experian, Aga Foodservice

    The London markets were higher on Friday, with the FTSE 100 0.83 percent higher to 6,690.1.

    The FTSE 250 added 0.55 percent to 11,867.3.

    The oil sector was higher on short supplies and continuing worries about the situation in Nigeria.

    BP (LSE: BP; NYSE: BP; TYO: 5051) was 1.08 percent higher to 610p, while BG Group (LSE: BG; NYSE: BG) added 1.97 percent to 829p.

    Royal Dutch Shell’s (LSE: RDSA, RDSB; NYSE: RDS A, RDS B) A shares gained 2.87 percent to £21.15 after it said that it will begin once again to drill in the Arctic.

    Miners also saw gains. Antofagasta (LSE: ANTO) added 2.63 percent to 663.5p, while Xstrata (LSE: XTA) was 3.03 percent higher to £32.66 and Vedanta Resources (LSE: VED) gained 3.15 percent to £17.01.

    BHP Billiton (LSE:BLT; ASX: BHP; NYSE: BHP) had the best day on the 100, adding 3.69 percent to £15.16.

    Gainers on the 250 included kitchen equipment manufacturer Aga Foodservice (LSE: AGA), which was 7 percent higher to 412.5p after it said it is thinking about selling its commercial division.

    Decliners on the 100 included Intercontinental Hotels (LSE: IHG; NYSE: IHG), which was down 1.37 percent to £12.98.

    In the business services sector, Experian (LSE: EXPN) dropped 1.58 percent to 623.5p for the worst performance of the day on the 100.





    July 5, 2007

    Telecommunications sector declines

    Filed under: Companies, Xstrata, Rio Tinto, BHP Billiton, Vodafone, BT Group, Wolseley, GAME Group, Michael Page International

    In London on Thursday the FTSE 100 was 0.57 percent lower to 6,635.2, while the FTSE 250 fell 0.27 percent to 11,802.8.

    The declines came after the Bank of England’s Monetary Policy Committee voted to raise interest rates to 5.75 percent.

    Miners were helped by continuing merger rumors and by metals prices which remained strong.

    Rio Tinto (LSE: RIO) was 1.45 percent higher to £40.01, while BHP Billiton (LSE: BLT; ASX: BHP; NYSE: BHP) gained 1.74 percent to £14.62.

    Xstrata (LSE: XTA) had the best day on the 100, adding 1.96 percent to £31.70.

    Computer software and video games retailer GAME Group (LSE: EBQ) was the best performer on the 250, gaining 7.14 percent to 195p, while employment recruiter Michael Page International (LSE: MPI) was 6.34 percent higher to 595p.

    The telecommunications sector took losses on the 100 after it was reported that Vodafone (LSE: VOD; NYSE: VOD; FWB: VOD) had not won an exclusive contract to partner with Apple (NAS: AAPL; LSE: ACP; FWB: APC) on its iPhone in the UK.

    Vodafone dropped 2.41 percent to 162.1p, while BT Group (LSE: BT.A; NSYE: BT) was 2.38 percent lower to 328.75p.

    Construction materials group Wolseley (LSE: WOS)had the worst day on the 100 as it dropped 2.63 percent to £11.83.





    March 8, 2007

    London markets see gains

    Filed under: Companies, Standard Chartered, Xstrata, Kazakhmys, Antofagasta, HMV Group, Vedanta Resources, First Choice Holidays, Lionore Mining

    In London on Thursday, the FTSE 100 added 1.16 percent to 6,227.7, largely on the strength of gains in the mining sector. The FTSE 250 was also higher, gaining 1.6 percent to 11,363.8.

    Among miners, Xstrata (LSE: XTA) added 0.4 percent to £24.69 after rumors surfaced that it was thinking about bidding on Canadian nickel miner Lionore Mining (LSE, Toronto Stock Exchange: LIM), which gained 2.7 percent to 750p. Lionore is up nearly 133 percent since October of last year.

    Elsewhere in the sector, Vedanta Resources (LSE: VED) and Kazakhmys (LSE: KAZ) were each 2.9 percent higher, to £12.49 and £11.24 respectively. Kazakhmys just purchased Dostan-Temir as its first move into the oil sector. Antofagasta (LSE: ANTO) gained 3.1 percent to 476p on rumors that a special dividend of 40 cents US per share might be announced next Tuesday when it reveals its full-year results.

    In the banking sector, Standard Chartered (LSE: STAN; SEHK: 2888) added 2.2 percent to £14.30 on broker comments that low share prices meant a good opportunity to buy as well as the news that Singapore’s state investment company, Temasek, had increased its holding in the bank to 12 percent.

    Music retailer HMV (LSE: HMV) was up 3.9 percent to 146p ahead of a strategy presentation scheduled for next Tuesday. Pali International initiated coverage with a “buy” recommendation.

    First Choice Holidays (LSE: FCD) added 1.2 percent to 268¾p on rumors that private equity might be interested in making a bid.





    March 5, 2007

    HSBC bucks losing trend on full-year report

    Filed under: Companies, BA, Royal Dutch Shell, BP, Cairn Energy, Xstrata, Kazakhmys, Vedanta Resources, HSBC

    Equities markets were lower in London on Monday, but the declines were not nearly as big as those seen in Asia on the session. The FTSE 100 was 0.9 percent lower to 6,058.7, while the FTSE 250 fell 1.7 percent to 10,857.9. The 100 was below the 6,000 level for the first time since October during part of the session but was able to regain some of those losses as the Dow Jones Industrial Average was up slightly as the London session closed.

    Miners and the oil sector suffered losses as commodities prices fell. Xstrata (LSE: XTA) fell 1.4 percent to £23.32, while Kazakhmys (LSE: KAZ) dropped 2.3 percent to £10.61 and Vedanta Resources was 3.1 percent lower to £11.80.

    Among oil companies, Royal Dutch Shell (LSE: RDSA, RDSB; NYSE: RDS A, RDS B) was down 0.8 percent to £16.21. BP (LSE: BP; NYSE: BP; TYO: 5051) fell 1.1 percent to 511½p. Meanwhile, Cairn Energy (LSE: CNE) dropped 2.7 percent to £15.49, making it more likely that it will be delisted from the FTSE after tomorrow’s review.

    British Airways (LSE: BAY; NYSE: BAB), which usually benefits from lower oil prices, still dropped 6.6 on the day to 497p on several issues, including a possible loss of earnings if an “open skies” agreement allows more carriers to fly trans-Atlantic routes out of Heathrow.

    In the banking sector, HSBC (LSE: HSBA; NYSE: HBC; Euronext: HSBC; SEKH: 005) bucked the general losing trend to add 1.1 percent to 896p after it said that its pre-tax profits were up 4 percent in its full-year report.





    February 28, 2007

    UK banking sector declines

    Filed under: Companies, Northern Rock, Standard Chartered, Xstrata, Anglo American, Barclay's, HBOS, Royal Bank of Scotland

    In London on Wednesday, the FTSE 100 was 1.8 percent lower to 6,171.6. The decline came after yesterday’s 2.3 percent decline and negated all the gains the index has made since the beginning of the year. Meanwhile, the FTSE 250 dropped 0.88 percent to 11,082.90. The 100 lost 114.6 points on the day, while the 250 was 98 points lower.

    Miners again were among the biggest losers on the day, hurt by indications that Chinese demand for metals will decline. Xstrata (LSE: XTA) dropped 3.4 percent to £23.96, while Anglo American (LSE: AAL) fell 3.6 percent to £24.38.

    Banks also had a hard day of it. HBOS (LSE: HBOS) was 4.5 percent lower to £10.81 after it reported an annual profit that was around where analysts had expected it to be but also issued a warning that margins could fall due to less income from default charges that banks were ordered to reduce by the Office of Fair Trade.

    Elsewhere in the sector, Standard Chartered (LSE: STAN), which focuses on emerging markets, dropped 1.5 percent to £14.28. Northern Rock (LSE: NRK) was 1.8 percent lower to £11.35, while Royal Bank of Scotland (LSE: RBS; NYSE: RBS PRM) fell 2.8 percent to £20.10 and Barclays (LSE: BARC; NYSE: BCS; TYO: 8642) was down 3.6 percent to 740p.





    February 22, 2007

    Miners gain on higher copper prices

    Filed under: Companies, BAT, Xstrata, Kazakhmys, Antofagasta, Emap, Imperial Tobacco

    Equities markets were higher in London on Thursday as the FTSE 100 added 0.4 percent to 6,380.9 and the FTSE 250 also gained 0.4 percent to 11,584.4.

    Miners advanced on the session on higher prices for copper, which were up by around 6 percent on the session. Antofagasta (LSE:ANTO) gained 3.4 percent to 489p, while Kazakhmys (LSE: KAZ) added 3.6 percent to £11.65 and Xstrata (LSE: XTA) was 3.7 percent higher to £25.72.

    The tobacco sector was mixed. Imperial Tobacco (LSE: IMT) was down 0.3 percent to £21.93 when Altadis (IBEX-35: ALT) of Spain denied rumors that it could make a joint bid for the company along with Philip Morris (NYSE: MO). On the other hand, British American Tobacco (LSE: BATS; AMEX: BTI; KLSE: BAT) added 0.5 percent to £15.74 as investors hoped that it would introduce increased share buybacks and cost-cutting measures when it issues its full-year report next week.

    Emap (LSE: EMA) gained 0.8 percent to 737p as rumors circulated that it might offer one of its divisions for sale. Several buyers were suggested as possibly being interested in different units. In addition, Panmure Gordon upgraded the media group to “buy”.





    January 26, 2007

    UK tobacco sector sees gains

    Filed under: Companies, Lloyds TSB, BAT, Xstrata, Cadbury Schweppes, Shire, Rank Group, Imperial Tobacco

    In London on Friday, the FTSE 100 dropped 0.7 percent to 6,228. This translated to a gain of 0.1 percent for the week. Meanwhile the FTSE 250 was down 0.5 percent on the day to 11,118.6, 0.4 percent higher over the week as a whole.

    The tobacco sector was higher. BAT added 1.2 percent to £15.17, while Imperial Tobacco ended 2.6 percent higher to £21.06 as Citigroup said that BAT will likely get more return to shareholders both this year and next.

    In the food and beverages sector, Cadbury Schweppes added 0.7 percent to 564p on new bids rumors that had private equity interested. US chocolate maker Hershey’s was also seen as a possible merger partner after its less-than-spectacular report earlier in the week.

    The leisure sector was also hit by merger talk surrounding Rank Group, which gained 1.6 percent to 226½p.

    Miners were lower on the day, with Xstrata the biggest loser among blue-chip stocks as it dropped 3.2 percent to £23.47. The pharmaceuticals sector was also down, with Shire falling 1.6 percent to £10.81 on a downgrade from Citigroup.

    Among banks, Lloyds TSB was 0.3 percent lower to 583½p even though HSBC issued an increased recommendation, from “neutral” to “overweight”, and set a target share price of 630p.





    January 8, 2007

    Cairn Energy gains 3.3 percent

    Filed under: Companies, Cairn Energy, Xstrata, Anglo American, British Land, Land Securities, Lonmin, Slough Estates, Hammerson, Liberty International

    London equities markets were lower on Monday, led down by the real estate sector. The FTSE 100 dropped 0.4 percent to 6,194.2 and the FTSE 250 was 0.3 percent lower to 11,156.

    Despite the general losses, some sectors saw gains. Miners were up after a bad week last week. Anglo American was 1.6 percent higher to £23.68, helped by the possibility that it could sell some of its 42 percent stake in South African gold miner AngloGold. Xstrata added 2.2 percent to £23.14 after dropping 11 percent last week, while Lonmin gained 3.2 percent to £28.90.

    In the energy sector, Cairn Energy was 3.3 percent higher to £17.25 on positive comments from Man Securities, which said that Cairn could see advances if the debut of Cairn India on the stock exchange in Mumbai on Tuesday is fairly successful.

    Declines in the real estate sector were explained by nervousness among investors ahead of a meeting by the Bank of England, scheduled for Thursday, when the Bank will make its latest decision on interest rates. The sector was also hurt by a sector wide downgrade to “underweight” from HSBC. Liberty International dropped 1.5 percent to £13.45, Slough Estates fell 1.7 percent to 770p, and Hammerson was 2.5 percent lower to £14.97. British Land was down 2.9 percent to £16.04, while Land Securities dropped 3.2 percent to £22.10.





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