FOOT.L Share News (FOOT)

LONDON (Alliance News) - The FTSE 100 posted a strong start to September, outperforming peers in mainland Europe on Monday as a weaker pound buoyed the foreign earning-heavy index."A renewed drop for sterling on fresh Brexit pessimism has allowed the FTSE to remain top of the pile in today's still-light trading. Thanks to the US holiday, the first trading day of September has a distinctly August vibe to it, but with London's main index back to the key 7,500 area it seems like there is no shortage of buyers willing to step in as they did in June and August," said IG chief market analyst Chris Beauchamp.The FTSE 100 index closed up 1.0%, or 72.18 points at 7,504.60. The FTSE 250 ended flat, just 6.85 points higher at 20,695.85, and the AIM All-Share closed up 0.3%, or 3.13 points, at 1,107.24.The Cboe UK 100 ended up 1.0% at 12,716.28, the Cboe UK 250 closed down 0.2% at 18,743.36, and the Cboe Small Companies ended down 0.1% at 12,269.03.The pound was quoted at USD1.2883 at the London equities close Monday, compared to USD1.2970 at the close on Friday.Sterling on Monday was dented by renewed Brexit concerns over the weekend, as well as weak manufacturing data.Over the weekend, EU chief negotiator Michael Barnier said he "strongly opposed" UK Prime Minister Theresa May's Chequers proposals because such "cherry-picking" would mean the end of the European project if enacted.With Parliament returning from recess on Tuesday, May is expected to face a coordinated effort from Tory hardline Brexiteers to abandon her exit agenda.Former Foreign Secretary Boris Johnson used his regular Daily Telegraph column on Monday to launch a scathing attack on May's Brexit strategy, branding it a "fix" that can only lead to victory for the EU.In response, May's spokesman insisted that the plans set out in the government's Brexit White Paper were "the only credible and negotiable plan which has been put forward".And the spokesman added: "Boris Johnson resigned over Chequers. There's no new ideas in this article to respond to."Meanwhile, the IHS Markit/Chartered Institute of Procurement & Supply Purchasing Managers' Index published on Monday showed the UK manufacturing sector expanded at the weakest pace in more than two years in August.The PMI reading fell to 52.8 in August from a revised 53.8 in July, below the expected reading of 53.9.Based on its historical relationship with official ONS data, the latest PMI report is broadly consistent with zero growth in manufacturing production, meaning the sector will likely fail to provide any support to the wider UK economy in the third quarter, Rob Dobson, director at IHS Markit, said.In data from the eurozone on Monday, IHS Markit showed the bloc's manufacturing activity fell in line with expectations for August.The manufacturing PMI for the month declined to 54.6, in line with the flash estimate but down from July's 55.1. The indicator pointed to the slowest growth since November 2016."Overall, while the survey doesn't suggest that manufacturing will continue to contract in Q3, there is little sign of a strong rebound," commented Andrew Wishart, UK economist at Capital Economics.In European equities on Monday, the CAC 40 in Paris ended up 0.1%, while the DAX 30 in Frankfurt ended down 0.1%.The euro stood at USD1.1623 at the European equities close Monday, against USD1.1605 at the same time on Friday.Stocks in the US are closed for the Labor Day holiday on Monday, and will re-open on Tuesday.In commodities, Brent oil was quoted at USD78.18 a barrel at the London equities close Monday from USD77.80 late Friday.Gold was quoted at USD1,201.48 an ounce at the London equities close Monday against USD1,200.70 at the close on Friday."The metal is dancing around the USD1,200 mark and the lack of volatility in the greenback is playing into it too. The commodity has been at the mercy of the strong US dollar in recent months, and traders will be looking ahead to the US non-farm payrolls report on Friday," said David Madden, market analyst at CMC Markets.On the London Stock Exchange, Royal Mail closed 3.2% higher on Monday, among the best performers in the FTSE 100.The postal services operator said it has acquired Canadian parcel delivery company Dicom Canada as part of its geographic diversification strategy.Royal Mail's General Logistics Systems unit has bought Dicom Canada from Chicago-based private equity firm Wind Point Partners for CAD360 million, or around GBP213.5 million. The acquisition does not include Dicom's US business.Standard Life Aberdeen ended up 2.6% after confirming late Friday the completion of its sale of Standard Life Assurance to Phoenix Group Holdings. Standard Life also confirmed its intention to return up to GBP1.75 billion to its shareholders following the sale. At the bottom of the blue-chips was United Utilities, down 2.0% with Severn Trent closing 1.6% lower.London-listed water companies have submitted their business plans for the period from 2020 to 2025 to UK water industry regulator Ofwat.FTSE 100-listed Severn Trent plans to reduce its real bill for Severn Trent Water customers by 5.0%, by using the company's commercial pipelines to produce 13% more efficiency in spending, with total expenses of GBP6.6 billion over the five-year period.Peer United Utilities intends to reduce its average customer bills in real terms over the period by 10.5% from GBP427 in 2019-20 to GBP382 in 2024-25.Dechra Pharmaceuticals was the worst performer in the FTSE 250 as it ended the session slumped 21%.The veterinary products maker said revenue in the year to the end of June grew 13% to GBP407.1 million from GBP359.3 million reported for the same period a year earlier, pushing pretax profit up to GBP28.9 million from GBP28.6 million.Dechra proposed a final dividend of 18.17 pence per share, up from 15.33p paid the prior year. The full-year payout totalled at 25.5p per share, up 19% year-on-year."Whilst there are many challenges in the market, which is developing faster than at any time in its history, we believe that our strategy and flexibility to adapt to change positions us well to continue to outperform," the company said in a statement on Monday.On London's junior AIM market, shares in sportswear fashion retailer Footasylum dived 51% after it warned on its annual results.For the six months ended August 25, the company on Monday said it expects to report revenue of GBP98.6 million, 19% higher year-on-year. However, the footwear retailer said that, for the year ending February 23, 2019 revenue is expected "below current market expectations".The store performance in May and June was "positive", Footasylum said, but was "challenging" in July and August. Furthermore, while online and wholesale revenue continue to perform "strongly", disappointing store sales were exacerbated by "unforeseen delays" in new store openings and expansions.As a result of this lower revenue, and reduced gross margins due to higher clearance activity, Footasylum now forecasts annual earnings before interest, taxes, depreciation and amortisation to be "significantly lower than previous guidance, at less than half of the FY18 adjusted Ebitda of GBP12.5 million"."The business has also not helped itself, pointing to unforeseen delays in new store openings and upsizing of existing outlets. Ultimately it is questionable whether investors will still share management's continuing confidence in the 'long-term prospects' of the group," commented AJ Bell investment director Russ Mould.In the corporate calendar on Tuesday are interim results from advertising giant WPP and housebuilder Redrow. Car parts and cycling retailer Halfords will release first quarter results. There is a trading statement due from paper and packaging firm DS Smith.In the UK economic calendar on Tuesday, BRC like-for-like retail sales are at 0001 BST, followed by a construction PMI reading at 0930 BST and inflation report hearings at 1315 BST in front of the Treasury Select Committee. From the eurozone is the producer price index at 1000 BST, while there are Markit and ISM manufacturing PMIs from the US at 1445 BST and 1500 BST respectively.