Greg Secker – U.K. Market update brought to you by Traders University

UK markets closed higher yesterday, with the FTSE 100 index ending just shy of its three year peak, following well-received earnings reports from local and overseas companies. Energy stocks, BP, Royal Dutch Shell and Essar Energy, gained between 0.8% and 3.0%, as gasoline prices reached their highest close since mid-July 2008. International Consolidated Airlines featured as the top gainer in the FTSE 100 index, after UBS termed the stock as its top pick. Shares of Johnson Matthey climbed 1.3%, helped by an upbeat trading statement from Umicore, its Belgian-based peer. Burberry was up 1.6%, as data showing a 10% growth in Swiss watch exports in March pointed to a positive trend for the luxury goods sector. Better-than-expected positive results from US companies such as Ford Motor and 3M also added to the positive sentiment. FTSE 100 gained 0.9% or 51.1 points to 6,069.4. FTSE 250 added 0.5% or 59.0 points to 11,869.4.

UK markets closed mixed on Thursday, as gains in miners, retailers and banks were offset by some negative company updates and broker reviews. Miners, Kazakhmys, ENRC, and Xstrata, added between 1.3% and 2.1%, as base metal prices gained. Among retailers, shares of Next benefited from a positive recommendation from Morgan Stanley, while Burberry was found wanted, amid speculation that it may be a bid target for a Middle Eastern consortium. Barclays, up 1.5%, led banks higher, following positive review from Nomura. The banking sector also received support from higher-than-expected first quarter earnings from Morgan Stanley. However, losses in index heavyweight, Vodafone, dragged the FTSE 100 index lower, after its peer, Royal KPN NV, issued a profit warning.
FTSE 100 fell 0.1% or 4.0 points to 6,018.3. FTSE 250 advanced 0.5% or 54.3 points to 11,810.5.

UK markets closed higher yesterday, buoyed by better-than-expected corporate earnings and higher commodity prices. Miners, Antofagasta, Anglo American and Kazakhmys, gained between 3.3% and 5.5%, as base metal prices rallied. Oil producers, Royal Dutch Shell, Tullow Oil and BP, added between 3.0% and 4.1%, as oil prices settled at their highest level in nearly two weeks. Upbeat results from US peer, Intel, benefited shares of ARM Holdings, while household-products firm, Reckitt Benckiser, rose 3.9%, after the company posted earnings which managed to exceed market expectations, helped by growth in emerging markets. Shares of Xstrata and HSBC Holdings paced gains, following positive broker review.
FTSE 100 jumped 2.1% or 125.4 points to 6,022.3. FTSE 250 rallied 1.6% or 181.7 points to 11,756.2.

UK markets closed higher yesterday, as retailers, miners and oil producers recorded gains. Among retailers, shares of Burberry jumped 6.0%, after the company’s fiscal fourth-quarter sales surpassed market expectations, while Marks & Spencer benefited from an upgrade by Citigroup. However, Tesco, down 1.6%, bucked the trend, after the company warned that its domestic market would remain “challenging”. Miners, Anglo American, Xstrata and Vedanta Resources, gained between 1.5% and 2.4%, as base metal prices increased. Oil producers, Cairn Energy, Petrofac and Antofagasta, added between 1.0% and 1.3%, as oil prices advanced.
FTSE 100 rose 0.5% or 26.8 points to close at 5,896.9. FTSE 250 climbed 0.7% or 83.8 points to 11,574.5.

UK markets dipped sharply yesterday, with the FTSE 100 index falling the most in five months, as persisting worries over European sovereign debt and a US credit rating outlook downgrade by S&P’s sparked a selloff. Miners, Antofagasta, Anglo American and Kazakhmys, lost between 3.8% and 5.0%, as base metal prices slipped. Possible Greek debt default fears weighed on banks, Barclays, Lloyds Banking Group and Royal Bank of Scotland Group, all down between 2.0% and 3.6%. Resolution, down 4.8%, led insurers lower, after UBS removed the stock off its “buy” list and cut the company’s earnings forecasts by about 30%.
FTSE 100 declined 2.1% or 125.9 points to close at 5,870.1. FTSE 250 eased 1.6% or 188.5 points to 11,490.8.