Barclays Share News (BARC)

LONDON (Alliance News) - The FTSE 100 managed to edge into the green at midday on Monday, overcoming losses for airlines and housebuilders as a new North American trade deal underpinned market sentiment.In UK data, the latest manufacturing Purchasing Managers' Index came in above expectations as the pace of expansion unexpectedly accelerated in September.The FTSE 100 was up 0.1%, or 6.09 points, at 7,516.29. The FTSE 250 was up 0.7%, or 141.15 points, at 20,448.19 while the AIM All-Share was up 0.3% at 1,101.45.The Cboe UK 100 was down 0.1% at 12,751.85. The Cboe UK 250 was up 0.6% at 18,551.43 and the Cboe UK Small Companies flat at 12,146.98.Over in mainland Europe, the CAC 40 in Paris and DAX 30 in Frankfurt were up 0.3% and 0.6% higher respectively. "The main catalyst for these gains is the agreement reached late last night between Canada and the US which will see the former join the latter and Mexico in a new trade deal," said XTB chief market analyst David Cheetham.The agreement, announced late Sunday, was reached at the last minute - just before a deadline was set to arrive at midnight local time. The deal was hailed by Canada's Prime Minister Justin Trudeau on Twitter as "a good day for Canada & our closest trading partners."The new trade agreement will be known as the United States-Mexico-Canada Agreement, or USMCA, as it replaces the North American Free Trade Agreement, known as Nafta.US President Donald Trump questioned the original deal and pushed to renegotiate it because he saw the world's largest economy as being overburdened by it. The talks began more than a year ago and have stalled repeatedly over the past few months.Cheetham added: "From a global perspective the trade tensions between the US and China represent a far bigger risk and the move higher in stock markets on this news could be seen as a sign that traders are hoping it could lead to a breakthrough there."In UK data on Monday, IHS Markit and Chartered Institute of Procurement & Supply showed the manufacturing sector expanded at a faster pace in September.The manufacturing PMI rose to 53.8 in September from 53.0 in August, which was revised up from 52.8. Any reading above 50 indicates expansion in the sector.The reading for September had been forecast at just 52.5, which would have marked a decline on last month.Sterling was quoted at USD1.3043 Monday midday, rising off earlier lows of USD1.3024 but flat compared to USD1.3048 at the London equities close on Friday.In the eurozone, official data showed employment dropped to the lowest rate since November 2008.Across the 19-country currency bloc, 13.2 million people were without a job in August, according to the data from the EU's statistics agency Eurostat, bringing the unemployment rate to 8.1%. This had edged down from 8.2% reported a month ago.In the 28-country EU, the unemployment rate remained unchanged in August at 6.8%.To come in the economic calendar on Monday is the US Markit manufacturing PMI at 1445 BST and the ISM manufacturing PMI at 1500 BST.Wall Street is headed for a higher start on the back of the new North America trade deal, with the Dow Jones called 0.7% higher, the Nasdaq up 0.8% and the S&P 500 on course to gain 0.6%.Having closed down 14% on Friday, shares in Nasdaq-listed Tesla were 16% higher in pre-market trade as chief executive Elon Musk reached a settlement with the US Securities & Exchange Commission.The SEC on Thursday had charged Musk with fraud for a series of false and misleading tweets about a potential transaction to take Tesla private. The billionaire entrepreneur will remain as CEO, but has to step down as the luxury electric car maker's chairman for three years and pay a USD20 million fine, with Tesla to pay an equal USD20 million penalty. Tesla will also have to appoint two new independent directors to its board.In London at midday, Ryanair shares were down 8.6% as the stock traded around two-year lows after a profit warning on higher oil prices and strikes.Profit guidance for the current financial year ending March 31 was lowered to a range of EUR1.10 billion to EUR1.20 billion, from EUR1.25 billion to EUR1.35 billion, as a result of lower traffic and weaker fares in September, caused by two years of coordinated strikes across Europe.Ryanair said it cannot rule out further disruptions in the third quarter ending December, which could see its profit guidance lowered even more.The update from the low-cost airline hit blue-chip peers, with easyJet down 3.2% - also suffering from a downgrade from Bernstein to Underperform from Market Perform - and British Airways owner International Consolidated Airlines down 1.4%. FTSE 250-listed Wizz Air was down 3.4%.Meanwhile, blue-chip housebuilders were another group facing losses on Monday after UK Prime Minister Theresa May over the weekend announced plans for a stamp duty surcharge of between 1% and 3% to be imposed on sales of property to foreign nationals who do not pay UK tax.The money raised would go towards measures to tackle rough sleeping, and is designed to ease pressure on the housing market and make homes more affordable.Berkeley Group was down 2.3% on the news, with Persimmon 1.6% lower and Taylor Wimpey down 1.1%.Helping to offset the drag from airlines and housebuilders on the FTSE 100 was United Utilities, up 2.9% after Deutsche Bank raised the water firm to Buy from Hold.Lender Barclays, 1.2% higher, was also benefiting from broker rating action as Berenberg upgraded the bank to Buy from Hold.An upgrade from Berenberg to Hold from Sell was also bolstering travel operator Thomas Cook in the FTSE 250, 3.9% higher at midday.At the bottom of the mid-cap index was life insurer Just Group, down 6.2% after announcing the departure of its chief financial officer.Chief Financial Officer Simon Thomas will step down from his role at the end of October. Thomas will be replaced by Deputy Chief Executive Officer and Managing Director of UK Corporate Business David Richardson in an interim capacity.The financial services company said the search for Thomas' successor is underway and an announcement will be made in due course.