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

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 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.

UK markets closed higher on Friday, with the FTSE 100 index finishing just shy of the psychological 6,000 level, as positive US consumer confidence and regional manufacturing data increased risk appetite among investors. Gains in real estate investment trusts, British Land and Land Securities, benefited the overall property sector higher, after JP Morgan issued an optimistic note on the sector. Precious metal miners, Randgold Resources, Fresnillo, and Lonmin, added between 0.7% and 1.5%, as gold, silver and platinum prices continued to rally. Among other stocks, positive broker reviews helped shares of Imperial Tobacco and Man Group to record gains.
FTSE 100 rose 0.5% or 32.1 points to 5,996.0. FTSE 250 added 0.7% or 76.1 points to 11,679.2.

UK markets dipped sharply yesterday, with the FTSE 100 index slipping below the psychological 6000-point mark, as miners and oil producers suffered a selloff. Miners, Antofagasta, Kazakhmys and Anglo American, lost between 4.6% and 5.0%, as base metal prices came under pressure. Precious metal miners, Fresnillo, Randgold Resources and Lonmin also feature among the losers, affected by a fall in silver, gold and platinum prices respectively. Oil producers, Tullow Oil, Essar Energy, and BP, eased between 2.8% and 3.9%, as oil prices tumbled to their lowest level in nearly two weeks. A recommendation by Goldman Sachs to book the recent commodity-trading gains also weighed on the mining and energy sector. FTSE 100 dropped 1.5% or 89.0 points to 5,964.5. FTSE 250 slid 1.3% or 148.1 points to 11,541.6.