FTSE close: Vodafone, Amec up; RBS, Lloyds down
London's blue-chip share index paused for breath today after the 2.3% bounce-back seen in the previous session.
The FTSE 100 index stood 2.9 points higher at 5,315.1 by late afternoon, with a gold price boost helping miners but with banks losing heavily.
It eventually closed the day 15.22 points higher at 5,327.39.
Futures trading pointed to a similar opening on Wall Street as global stocks settle after the heightened volatility seen in recent days amid revelations of Dubai's debt crisis.
'After Tuesday's bounce back it's no real surprise that investors are taking a breather today with little about to inspire fresh direction,' said Mic Mills, senior trader at ETX Capital. 'All eyes now focused on Friday's US jobs report as the Dubai drubbing fades into the memory.'
World markets soared yesterday as they shrugged off fears over debt-ridden Dubai, clawing back some of the hefty losses seen after the country's woes first emerged.
The Dow Jones Industrial Average closed overnight at its highest level since October last year, while indices across Europe also banked solid gains.
In London, commodity shares were in favour today amid a fresh surge for gold to a new record price of around $1,217 an ounce as the greenback continued to be snubbed by investors.
Platinum miner Lonmin was the Footsie's biggest riser, cheering 3%, or 60p, to 1,911p. Eurasian Natural Resources, was 2% better at 915.5p, Rio Tinto added 82p to 3,292p and Kazakhmys gained 30p to 1310p.
Broker comment also provided support. Vedanta Resources added 59p to 2,445p as Goldman Sachs raised its rating to 'buy' from 'neutral' in a review of the European metals and mining sector. The broker downgraded its stance on Anglo American – 9p higher to 2,721p - to 'neutral'.
Software group Sage was another top riser, up almost 3%, or 6.4p, to 221.1p - after the group reported a 2% fall in pre-tax profits, but said it was encouraged by a contract renewal rate of 81%.
Royal Bank of Scotland was among the top flight's biggest fallers - down 2% - after the Times newspaper said the Treasury had demanded control of Royal Bank of Scotland's bonus pot.
As part of the terms of its deal to insure bad debts, the Government wants to dictate both the 'quantum and shape' of the payouts at the bank for 2009. This fuelled fears about RBS's competitive position as shares slipped 0.72p to 33.55p.
Fellow part-nationalised lender Lloyds Banking Group fell 2%, or 1.04p at 53.1p but Barclays firmed 1.45p to 297.5p and HSBC lost 3.3p to 722.7p.
A raft of stocks also slipped as they turned ex-dividend, meaning that new investors are not entitled to the next shareholder payout. This hit National Grid, down 15.5p at 652.5p, and utility giant Severn Trent, which eased 19p to 1030p.
Mobile telecoms heavyweight Vodafone added 3.05p to 143.05p as Credit Suisse hiked its target price to 160p from 150p while oil services firm Amec rose 17.5p to 829p as Evolution Securities upped its rating to 'buy' from 'add'.
Publisher Reed Elsevier gained 3.7p to 467.2p, benefiting from its inclusion in a UBS key call list in a 2010 strategy review.
Both UBS and ING were optimistic for the prospects for European equities in 2010, citing an upturn in the economic cycle, but both said defensive sectors would outshine cyclical sectors like technology and financials.
Most watched Money videos
- The new Volkswagen Passat - a long range PHEV that's only available as an estate
- Blue Whale fund manager on the best of the Magnificent 7
- Iconic Dodge Charger goes electric as company unveils its Daytona
- Skoda reveals Skoda Epiq as part of an all-electric car portfolio
- How to invest for income and growth: SAINTS' James Dow
- How to invest to beat tax raids and make more of your money
- Mini unveil an electrified version of their popular Countryman
- 'Now even better': Nissan Qashqai gets a facelift for 2024 version
- MailOnline asks Lexie Limitless 5 quick fire EV road trip questions
- Land Rover unveil newest all-electric Range Rover SUV
- 2025 Aston Martin DBX707: More luxury but comes with a higher price
- BMW meets Swarovski and releases BMW i7 Crystal Headlights Iconic Glow
- Booming Next closes in on £1bn profit milestone with...
- Young people more likely to quit their JOB than their...
- Premium Bonds winning numbers for May 2024 - see all the...
- Melrose Industries enjoys strong engine sales as revenue...
- Change stamp duty so it's easier to move home, says...
- Smith & Nephew rocked as 43% of investors rebel over fat...
- Pandol and Advil maker Haleon hurt by milder flu season
- Shell smashes profit forecasts and unveils fresh bumper...
- Britain must go it alone when it comes to interest rates,...
- Mulberry sales plunge as slower demand casts a shadow...
- Standard Chartered beats profit estimates as higher...
- Fresh blow for City as Flutter votes to move main listing...
- US Federal Reserve forced to calm fears over rate hikes
- US drugs giant Pfizer posts a drop in sales in a...
- The £80bn takeover feeding frenzy: Bids for UK firms soar
- I'm 'very well paid', says Glaxo boss Emma Walmsley
- MARKET REPORT: Aston Martin shares in reverse as sales...
- Muggers stole £3,900 and used my Revolut account to buy...