Stock market report: Monday close
Unilever today stood out with a rise of 30p to 1322p.
Market watcher: Latest from the Stock Exchange
Friday's issue of a £350m corporate bond at par and yielding 3.9%, redeemable in 2014, by the Knorr soup and Lipton tea group was quickly gobbled up.
In fact, it was heavily oversubscribed, and the stock was today trading at £100.30.
Some applicants say they got about 7% of the stock they applied for while others received nothing. It is claimed some of the City's biggest institutional investors had been allocated the stock ahead of issue.
This would indicate that demand for bonds remains high, making last week's rally by share prices all the more puzzling.
Stock-market bears were continuing to feel the squeeze in London today as shares climbed back above 3800.
The FTSE 100 index close 110.3 points up at 3863.9, stretching its gain to 318 points or 9% in a week. Wall Street also extended its gains this afternoon.
The Dow rose 100.27 to 7324.25 despite a bigger-than-expected drop in industrial production last month.
Increased optimism about the banking sector has improved London sentiment, although most traders agree this is likely to turn out to be a dead-cat bounce.
Barclays rose 16.8p to 90.9p after confirming plans to sell part of its fund management business. The deal is expected to fetch the lender £4bn, which will be used to strengthen its balance sheet.
The insurers were also chased higher, Prudential putting on 18¾p at 279½p. Hedge fund operator Man Group firmed 2p to 195p but UBS dropped its target from 186p to 165p to reflect lower assets under management.
The shorts continue to cover their positions in Land Securities in the wake of the property developer's £755m rights issue, with the shares climbing a further 29¼p to 399¾p. That, in turn, drove up the nil-paid 17½p at 103p.
The bargain-hunters came in for Marks & Spencer, 13¼p better at 259½p. JPMorgan has tweaked its target 10p higher to 310p after seeing an improvement in the retailer's food business.
National Grid advanced 27½p to 581½p. Morgan Stanley has scuppered suggestions the group needs a rights issue and reckons the shares have been oversold.
Anglo American put on 38p at 1153p despite Goldman Sachs dropping its rating on the shares from buy to neutral and slashing its target from 1196p to 1143p.
The broker reckons metal prices may fall further. Evolution Securities continues to rate Rio Tinto, up 24p at 2101p, a sell, and cannot see any benefit to shareholders from the Chinalco fundraising. It has raised its target from 1180p to 1640p.
Cazenove has lifted its rating for Arm Holdings, 1p better at 104½p, from inline to outperform, and says it has confidence the group can cut costs.
On AIM, Victoria Oil & Gas jumped 1.86p to 4.5p. The Kazakh general prosecutor has supported it in a dispute over its ownership of the Kemerkol oil field.
City coverage and share tips
This is Money carries breaking City news throughout the day. Bookmark Companies & Markets and try these markets links...
Tomorrow's agenda
Debenhams may reveal it has gained market share across the menswear, childrenswear and womenswear categories. The department stores group, which has been showing signs of a turnaround after a tough couple of years, is expected to prompt broker upgrades at its first-half pre-close trading statement. It last week acquired assets from Principles after owner Mosaic went into administration.
Analysts believe the deal cost the retailer between £5m and £10m. It is understood the brand itself has been sold to a separate legal entity, and could be resurrected. However, it seems unlikely as 66 stores have closed and 110 head-office staff have been laid off.
Most watched Money videos
- How to invest for income and growth: SAINTS' James Dow
- Blue Whale fund manager on the best of the Magnificent 7
- Land Rover unveil newest all-electric Range Rover SUV
- 2025 Aston Martin DBX707: More luxury but comes with a higher price
- BMW's Vision Neue Klasse X unveils its sports activity vehicle future
- BMW meets Swarovski and releases BMW i7 Crystal Headlights Iconic Glow
- Skoda reveals Skoda Epiq as part of an all-electric car portfolio
- 'Now even better': Nissan Qashqai gets a facelift for 2024 version
- Tesla unveils new Model 3 Performance - it's the fastest ever!
- Mini celebrates the release of brand new all-electric car Mini Aceman
- Mini Cooper SE: The British icon gets an all-electric makeover
- MailOnline asks Lexie Limitless 5 quick fire EV road trip questions
- MIDAS SHARE TIPS UPDATE: Wind is turning in Octopus...
- British businesses awash with 'accidental' bosses who...
- CITY WHISPERS: Bill Ackman's cerulean eyes charm...
- Shipping broker Clarksons on list of shame after...
- TONY HETHERINGTON: Boss behind firms fined £340k for more...
- Cost-of-living crunch wipes shine off Thomas Sabo jewellery
- MIDAS SHARE TIPS: Why it soon won't be hip to give the...
- Hollywood silly money? I'd only have stuffed it under the...
- As world lurches from crisis to crisis, experts share...
- 86-year-old Peter's woes with a faulty smart meter that...
- Britain's nascent battery industry receives shot in the...
- Helium and hydrogen company set to join stock market in...
- Where is Labour's 'white heat' revolution to revive...
- North Sea projects worth £21bn put at risk by Labour: Tax...
- JOHCM UK EQUITY INCOME FUND: Rate cuts... and a spending...
- Virgin Money's biggest independent investor...
- FTSE 100 hits an all-time high - but remember the stock...
- Ikea pushes back opening of its Oxford Street store to...