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London close: Late rally trims losses

Thu, 23rd Sep 2010 16:40

London staged a last hour rally but didn't rise by enough to eliminate losses sparked by a weak start on Wall Street. News that Brazilian oil company Petrobas will launch a world record $78bn rights issue helped other oil companies. BP, Shell and Cairn all picked up near the close. Expectation that the offer will be heavily oversubscribed drove Petrobas shares higher in Sao Paulo.Lloyds and Standard Chartered are the worst performing banking stocks as worries resurface about the prospect of sovereign debt defaults, while HSBC is also lower as concerns mount that there might be a power struggle at the top as the company looks to replace Trade Minister Stephen Green as chairman.Ireland was again a major concern for investors as it slumped back towards recession with GDP down by 1.2% in the second quarter. It coincided with a weak PMI for the eurozone overall and prompted renewed speculation that a European bank could default. Allied Irish and Bank of Ireland, now essentially proxies for the Irish economy, fell back.Among miners Kazakhmys, Antofagasta and Anglo-American were casualties as metal prices paused for breath.Water supplier United Utilities is on track to deliver results in line with expectations, with the recent regulatory price review for the 2010 to 2015 period now water under the bridge. Elsewhere in the utilities sector Severn Trent has a fan in Evolution Securities, which thinks the stock looks cheap, particularly as the company "is likely to surprise on the upside when announcing dividend policy in November."The last major obstacle to the merger of British Airways and Iberia has been cleared after the Spanish airline backed BA's plan to tackle its huge pension deficit.All Bar One pubs owner Mitchells & Butlers appears to have enjoyed an Indian summer. In the nine weeks to 18 September the group saw like for like (LFL) sales improve by 3.6% on last year's levels. That was a sharp improvement on the 1.6% year on year advance in LFL sales seen in the first 42 weeks of the fiscal year.Wind turbine gearbox designer Hansen Transmissions has teamed up with gearbox solutions expert Romax Technology to win business in China and South Korea. The pair will work for certain wind turbine makers in the area, providing design, development and supply of state-of-the-art gearboxes for multi megawatt (MW) turbines.Britain's biggest nightclub operator Luminar has eased investors' fears over the company's future with an announcement that trading in the half year to August 26 has been in line with expectations, if challenging.Shares in Churchill Mining roared ahead after the coal miner said a study at its East Kutai project in Indonesia 'confirms the technical and economic feasibility of the project and demonstrates that it is a world-class thermal coal deposit.' Nautical Petroleum, the oil explorer currently enjoying huge success in the North Sea, has sold a stake in its Mariner discovery to Statoil for £87.5m in cash. The Norwegian firm, which will also carry up to £3m of Nautical's cost through to final investment decision, expected within 1-2 years, will be the proud owner of an interest in Licence P355, Block 9/11a. Canary Wharf owner Songbird Estates is widening its sphere of operation by a few miles with talks underway with Land Securities over the development of the 'Walkie-Talkie' tower in the City of London . If it goes ahead, the new building, in Fenchurch Street and a 50/50 joint venture between the two companies, will be 160m high with sloped sides. The shares fell back, however, as the company announced a heavily discounted share placing of around 109m shares at 128p each.FTSE 100 - RisersPetrofac Ltd. (PFC) 1,393.00p +1.75%Schroders (SDR) 1,395.00p +1.60%Amec (AMEC) 970.50p +1.52%BG Group (BG.) 1,132.00p +1.39%FTSE 100 - FallersKingfisher (KGF) 224.30p -2.18%Resolution (RSL) 229.70p -1.84%Essar Energy (ESSR) 436.10p -1.80%Weir Group (WEIR) 1,370.00p -1.79%FTSE 250 - RisersKenmare Resources (KMR) 20.50p +7.89%Paragon Group Of Companies (PAG) 159.10p +5.50%Domino's Pizza UK & IRL (DOM) 474.80p +3.78%Enterprise Inns (ETI) 96.00p +3.06%FTSE 250 - FallersHenderson Group (HGG) 123.80p -4.92%Cable & Wireless Worldwide (CW.) 73.75p -3.34%Howden Joinery Group (HWDN) 72.50p -3.33%Babcock International Group (BAB) 530.00p -3.20%
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1 Apr 2011 06:56

Bank of Ireland bouncing back

Bank of Ireland shares rose sharply Friday morning, albeit from extremely depressed levels, following the publication Thursday night of the Irish government's Prudential Capital Assessment Review (PCAR). Also of great relevance for Irish banks, as well as for the wider euro zone financial sector,

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29 Nov 2010 16:45

London close: Shares slump as eurozone saga continues

The leading share index closed with triple-digit losses Monday as jitters over the eurozone debt situation continued to plague the markets. Financial markets are still betting either Portugal, Spain, or both, will need a rescue deal similar to the €85bn Irish bail-out, rubber-stamped over the weeke

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29 Nov 2010 14:18

London afternoon: Euro-zone fears resurface

Thoughts that the euro-zone boil had been lanced by the agreement of a bail-out package for Ireland have proved premature, with rising Spanish bond yields suggesting that the prospect of Spain being the recipient of an EU/IMF aid package cannot be ruled out. An underwhelming response to the latest

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29 Nov 2010 12:30

London midday: Footsie deep in the red after reversal

The leading share index is now firmly in the red after giving up the strong gains it was posting this morning. Markets remain jittery over the eurozone debt crisis. The euro hit new lows against a basket of currencies this morning, despite claims by European politicians that the €85bn Irish bail-o

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29 Nov 2010 08:54

London open: Banks lead market higher

UK shares have made a bright start to the week led by the banks after Ireland signed up to the EU/IMF bail-out at the weekend. Royal Bank of Scotland is the best performer. It has the largest exposure of the UK banks to Ireland. Lloyds, Barclays and HSBC are all going well. Bank of Ireland, meanwh

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29 Nov 2010 07:52

Bank of Ireland to seek own funds

Bank of Ireland today vowed to raise the €2.2bn demanded under the terms of the Irish bail-out through its own efforts and without the help of the Irish state. The Irish bank has to raise the additional capital by the end of next February or else get the cash from the Irish state, which would amoun

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25 Nov 2010 06:02

Thursday newspaper round-up: British banks, Irish banks, PIGS

Britain's biggest banks are working on a joint plan to cut bonus payouts and boost lending to small business. As political pressure grows ahead of January's bonus round, The Times has learnt that senior executives from Barclays, HSBC, Standard Chartered and Royal Bank of Scotland held discussions l

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22 Nov 2010 16:33

Irish banks slide afer bail-out

Worries that the European debt crisis could spread to other countries following Ireland's acceptance of a bail-out sent shares in banks lower Monday. While markets initially moved higher as investors breathed a sigh of relief when the Irish government put an end to lingering uncertainty about accep

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18 Nov 2010 12:05

London midday: Shares buoyant as updates impress

With some kind of resolution to the Irish crisis in sight and many of today's updates impressing the market, shares have moved sharply higher. The Bank of Ireland chief has confirmed a loan is likely with brokers suggesting it could be as much as €85bn, including €20bn to provide support for the co

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12 Nov 2010 17:11

Irish bonds recover on bail out hopes

Having reached around 9.25% on Thursday Irish 10-year bond yields have fallen back as Ireland is in talks with the EU about emergency funding. This was despite earlier denials from the Irish government, which had been saysing an EU rescue would not be needed. Proposals for the rescue package are

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12 Nov 2010 13:24

Bank of Ireland profits to plunge

Bank of Ireland has stoked more worries over economic conditions in the country, warning that full year profits may fall by up to 40% over the full year. The warning comes at the end of a jittery week for Ireland, which saw the 10-year Irish bond yield rise above 9% amid concerns over the ability o

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11 Nov 2010 16:53

Irish bond yields rise above 9%

The 10-year Irish bond yield has risen above 9% as Irish bonds fall for the 13th day in a row. Traders continue to offload Irish bonds, concerned over the ability of the country's government to pay its debts. That pushed the difference between the returns investors demand to lend money to the Iris

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29 Sep 2010 15:20

Sector movers: Ireland worries hit banks again

Banks are under pressure as worries over the European debt situation continue to plague the markets. Ireland is in the spotlight again amid speculation that that the cost of bailing out the nationalised bank Anglo Irish could rise to as much as €30bn (£25m). Unsurprisingly, Irish banks listed here

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23 Sep 2010 12:58

Sector movers: Irish banks under the cosh

Irish banks are sharply lower today as economic worries continue to plague the former Celtic tiger. New figures today show the debt-stricken country's economy shrank by between 1% and 2% between April and June. Allied Irish Banks is down 8% and Bank of Ireland is 6% lower. British banks are also u

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