FTSE moves closer to 5,200 mark 05/07/2005 - 18:35:16
The London market moved further towards the 5200 barrier today with a sixth consecutive session of progress.
The FTSE 100 Index clung on to modest gains to end the day 5.8 points up at 5190.1.
Oil was among the factors that redeemed the index thanks to a positive trading update from BP and a continued rise in the price of crude.
BP rose 5.5p to 622.5p after saying that its second quarter output was 3.5% higher than the same period last year and that it was on track to meet its 2005 production target.
The price of a barrel of US light crude lifted 75 US cents to stand at 59.5 US dollars in late afternoon trading.
After a shaky start due to the oil price rise, the Dow Jones Industrial Average recovered to stand 43 points ahead after London’s close owing to data about factory orders that was better than expected.
The markets took little heart from figures from the British Retail Consortium showing that high street sales in June fell by less than the previous month, helped by good weather and clearance sales.
However, the City got a boost from figures showing a modest rise in the profitability of non-financial UK firms, particularly in the service and oil and gas sectors, in the first quarter of 2005.
Shell joined BP in making progress, gaining 0.5p to 563.75p, but gas explorer BG Group lost hold of earlier gains to stand 2.5p down at 474p.
After spending most of the day at the top of the Footsie risers, bookmaker William Hill ended the session in third place with an 11p advance to 551p, after brokers described the firm’s trading update as better than expected.
However, insurer Aviva was among the top-flight fallers with a 6p loss to 618.5p after it said its adoption of new accounting standards would effectivelyreduce its pre-tax operating profits by 5%.
Elsewhere, housebuilder George Wimpey saw its stock dip 19.5p to 436.5p after it warned that interim profits would be well down on 2004.
But tapas restaurant group La Tasca gained nearly 2% or 2.5p to 135.5p after it reported a 56% rise in annual profits to £2.4m.
Online poker group PartyGaming lost more than 1% or 2.5p to 139p as many investors took profits after lifting the stock to a high of 143p yesterday.
And bus and rail group Go-Ahead was more than 4% or 60p adrift at 1280p after it warned that fuel costs would affect margins in its bus division this year and next.
Shares in engineering group Mowlem collapsed 10% or 18.75p to 164p after it issued a third profits warning since December.
Biggest risers were Amvescap up 7.5p to 343p, British Airways lifting 5.5p to 271.75p, William Hill adding 11p to 551p and Carnival advancing 50p to 3225p.
Biggest fallers were BPB down 16.5p to 519.5p, Anglo American off 20p at 1316p, Rexam losing 6.75p to 476.25p and O2 retreating 1.75p to 132.5p.
