UK Stocks Rise, Output Falls, BAT Up

123jump.com Staff
07 May, 2008
New York City

UK stocks edged higher in a day of mixed trading. UK manufacturing declined in March after rising in February. The index that tracks factory output fell 0.5% in March after rising 0.4% in February. Sharp decline in transportation equipment in the month led all categories in the manufacturing industries. BAT, the cigarette maker reported 14% rise in sales to

[R]1:00AM New York, 5:00PM London- U.K manufacturing output of the manufacturing industries decline by 0.5% between February and March[/R]

London stock indexes increased on rising stocks in retail and home building sectors. In London trading FTSE 100 rose 0.74% or 45.8 at 6.261.00.

Of the 102 FTSE 100 stocks 64 gained and 38 declined. Enterprise Inns led advancers in the index shares with a rise of 29% followed by Carphone Warehouse rising 7%. Other retailers rose as well. Next Plc gained 4% and Kingfisher increased 4.5%.

U.K. manufacturing slumps 0.5% in March

The Office of National Statistics reported today that in the first quarter of 2008 the index for the output of the production industries dropped 0.2% from the previous quarter, while between February and March output of the manufacturing industries fell by 0.5%.

There were no significant increases in manufacturing, with the index for transport equipment industries fell 1.3%.

In the first quarter 2008, manufacturing output rose by 0.3%, while mining and quarrying output declined by 4.6% and output of the electricity, gas and water supply industries decreased by 1.3% compared with the previous quarter.

Mining and quarrying output fell by 4.6% in the latest quarter from the previous quarter and was 4.5% lower than the same period a year ago. Between February and March, mining and quarrying output increased by 0.5% with a rise in gas production.

In the manufacturing sector output in the latest quarter advanced by 0.3% compared with the previous quarter and notably there was significant increases in output of 2.4% in the chemicals and man-made fibres industries and 1.8% in the machinery and equipment industries.

Manufacturing output in the latest quarter was 1.0% higher than the same period a year ago.

The statistics office also added that output of the electricity, gas and water supply industries in the three months of the year tumbled by 1.3% compared with the previous quarter, and plunged by 1.4% between February and March.

In addition, output of the consumer durable goods industries rose by 1.9% compared with the previous quarter but was down 0.2% from the comparable period a year ago.

Output in the consumer non-durable goods industries also rose by 0.2% in the first quarter 2008 and was down 0.1% from a year ago.

Gainers & Losers

Enterprise Inns led advancers in the FTSE 100 index shares with a rise of 29.90% followed by rises in Carphone Warehouse of 6.68%, in Persimmon of 5.44%, and Home Retail Group of 5.20%.

Other retailers gained as well. Next Plc rose 4.24% and Kingfisher Plc added 4.45%.

Antofagasta led decliners in the FTSE 100 index shares with a drop of 4.30% followed by losses in Old Mutual of 3.66%, in Rexam Plc of 3.28%, in International Power Plc of 2.70%, and Tullow Oil of 2.44%.

Other commodity stocks fell as well. Xstrata Plc fell and Vedanta Resources declined 1%.

World market review

In Tokyo Nikkei 225 Index closed higher 53.22 or 0.38% to 14,102.48, in Hong Kong Hang Seng index decreased 651.92 or 2.48% closed to 25,610.21. In Australia ASX 200 index lower 33.00 or 0.58% to close 5,668.40. In Malaysia KL Composite index increased 11.06 or 0.87% closed to 1,287.15.

In South Korea Kospi Index decreased 5.05 or 0.27% to close at 1,854.01, in Thailand SET index closed higher 2.88 or 0.34% to 848.71 and Indonesia JSE Index edged increased 10.87 or 0.46% to 2,382.70. Sensex index in India decreased 33.70 or 0.19% to 17,339.31.

In London FTSE 100 Index closed higher 45.80 or 0.74% to 6,261.00, in Paris CAC 40 Index increased 34.39 or 0.68% to close at 5,075.31 and in Frankfurt DAX index higher 59.15 or 0.84% to close at 7,076.25. In Zurich trading SMI increased 95.49 or 1.27% to close at 7,639.16.