UK Stocks Volatile; Resource Stocks Fall

Mayank Mehta
03 Dec, 2009
New York City

UK stocks traded volatile as commodities edged lower. Resource stocks declined as copper, zinc and precious metals decreased. The pub operator Marston

[R]4:00 PM London, 11:00 AM New York – UK stocks traded volatile as commodities edged lower. Resource stocks declined as copper, zinc and precious metals decreased. The pub operator Marston’s full year profit plunged 73%.[/R]

In London FTSE 100 Index closed lower 7.81 or 0.1% to 5,319.58 and the pound edged lower to close at $1.660 and at €1.101.

Gainers & Losers

ACM Shipping Group plc increased 1.2% to 206.00 pence after the tanker broker said first-half revenue declined 1% to £12.5 million from £12.7 million a year ago.

Ashtead Group plc added 0.2% to 71.55 pence after the provider of rental equipment said first-half revenues fell 20.8% to £408.6 million from £516.1 million a year ago. Net profit for the first-half fell 87.6% to £10.0 million or 2.0 pence per diluted share compared to net profit of £80.7 million or 15.8 pence per share a year ago.

AstraZeneca PLC added 0.2% to 2,772.50 pence and the Anglo-Swedish drugs giant today announced a collaboration and license agreement for the global development and commercialisation of TC-5214, Targacept’s late-stage investigational product for a depressive disorder.

BlueCrest AllBlue Fund Limited the investment company added 0.3% to 153.60 pence.

Cairn Energy PLC rose 0.4% to 3,080.00 pence after the oil company said it plans to schedule a meeting of its board to decide stock split and convert certain outstanding share incentive awards held by the group’s executive directors and other employees.

Findel plc surged 9.0% to 33.00 pence after the home shopping and education supplies firm said first-half revenues fell 5.8% to £277.7 million from £294.7 million a year ago. Net loss for the first-half was £15.8 million or 7.02 pence per diluted share compared to net profit of £1.3 million or 1.07 pence per share a year ago.

FuturaGene Plc surged 14.2% to 64.00 pence after the plant research firm said Bayer CropScience have entered into a license agreement for a drought tolerance technology for the crop cotton.

Go-Ahead Group PLC increased 2.6% to 1,260.00 pence after the train and bus operator announced that it has exchanged contracts to sell the majority of its aviation ground handling and cargo operations.

Halma p.l.c increased 5.5% to 245.90 pence after the health and safety electronics company said first-half revenues rose 0.2% to £222.1 million from £221.7 million a year ago. Net profit for the first-half rose 0.4% to £25.7 million or 6.85 pence per diluted share compared to net profit of £25.6 million or 6.83 pence per share a year ago.

Jardine Lloyd Thompson Group plc the insurance broker rose 2.1% to 445.10 pence.

Kingfisher plc rose 0.9% to 238.00 pence an international home improvement retailer said group total sales rose 2.4% primarily reflecting strong sales in B&Q UK and Poland.

The Local Shopping REIT plc gained 4.4% to 70.00 pence after the property investment company said full-year net rental income fell 12% to £12.4 million from £14.1 million a year ago. Net loss for the full-year was £31.0 million or 37.5 pence per diluted share compared to net loss of £40.5 million or 44.5 pence per share a year ago.

Marston’s PLC climbed 2.0% to 91.75 pence an independent brewer and pub operator said full-year revenues fell 3% to £645.1 million from £666.1 million a year ago. Net profit for the full-year fell 73.4% to £16.4 million or 3.9 pence per diluted share compared to net profit of £61.8 million or 16.2 pence per share a year ago.

Nostra Terra Oil and Gas Company plc plunged 12.6% to 1.17 pence announce that it has completed a placing of 318,500,000 new ordinary 0.1p shares in the company at a price of 1p per share, raising £3.185 million before expenses.

Petra Diamonds Limited increased 6.2% to 63.75 pence.

The Royal Bank of Scotland Group plc rose 2.9% to 34.53 pence.

Salamander Energy plc rose 0.7% to 265.90 pence after the Asia-focused oil company announces that it has reached agreement with respect to a farm-out arrangement with Origin Energy Ltd covering a portfolio of interests in five blocks of its operated exploration acreage in Northeast Thailand, Laos PDR and Vietnam.

Stanelco Plc the board of biodegradable packaging firm increased 6.2% to 0.34 pence.

Western & Oriental plc the specialist luxury travel group plunged 20.0% to 2.60 pence.

Xstrata plc fell 1.9% to 1,126.00 pence after the mining company announces corporate approvals for a total investment of $542 million (approximately A$589 million) to extend the life of its Ernest Henry Mining operations near Cloncurry in north-west Queensland, Australia, to at least 2024.

FTSE 100 Index Movers

Of the stocks in the FTSE 100 index, 48 increased, 54 declined and None were unchanged.

Xstrata Plc decliners in the FTSE 100 index with a loss of 3.83% followed by losses in Rio Tinto Plc of 3.30%, in Tullow Oil Plc of 3.01%, in Lonmin Plc of 2.83%, and in Anglo American Plc of 2.61%.

The Royal Bank of Scotland Group Plc led gainers in the FTSE 100 index with a rise of 4.69% followed by increase in Lloyds Banking Group Plc of 4.43%, in Legal & General Group Plc of 4.10%, in Barclays Plc of 2.35%, in 3i Group Plc of 2.14%.