SSE Share News (SSE)

LONDON (Alliance News) - The FTSE 100 got a welcome boost on Tuesday as the second day of talks between the US and China got underway, with stocks elsewhere in Europe also gaining. The biggest risers in London's blue-chip index on Tuesday included Ashtead, Tesco and SSE, which all helped to offset Wm Morrison Supermarkets's slide after its Christmas trading performance slightly undershot analyst expectations.The FTSE 100 index closed up 50.72 points, or 0.7%, at 6,861.60. The FTSE 250 ended up 199.64 points, or 1.1%, at 18,175.79, and the AIM All-Share closed up 4.52 points, or 0.5%, at 891.98.The Cboe UK 100 ended up 1.0% at 11,675.69, the Cboe UK 250 closed up 1.5% at 16,320.44, and the Cboe Small Companies ended up 0.7% at 11,100.31.Gains "gathered pace" as the session progressed, noted Spreadex analyst Connor Campbell, with sentiment boosted by ongoing US-China trade talks. "With the [US] President claiming that 'talks with China are going very well!', and the suggestion from the editor of the Global Times Hu Xijin that they will continue tomorrow - something that he argued highlights the seriousness of both sides to try reach a deal - the market's chipper mood was allowed to continue," said Campbell.In European equities on Tuesday, the CAC 40 in Paris ended up 1.2%, while the DAX 30 in Frankfurt ended 0.5% higher.Stocks in New York were higher at the London equities close, with the DJIA up 0.7%, the S&P 500 index up 0.4%, and the Nasdaq Composite up 0.2%. The pound was quoted at USD1.2735 at the London equities close Tuesday, lower compared to USD1.2755 at the close on Monday.The UK Prime Minister's Office confirmed that a parliamentary vote on Theresa May's Brexit deal will take place on Tuesday next week, Sky News reported citing a Downing Street spokesman.Brexit Secretary Stephen Barclay, separately in an interview with Sky News, confirmed that the government was "not looking to extend Article 50". The Daily Telegraph newspaper, citing three EU sources, reported Tuesday that British and European officials are discussing the possibility of extending Article 50 due to fears that a Brexit deal may not be approved by March 29.Meanwhile, the euro stood at USD1.1447 at the European equities close Tuesday, down from USD1.1460 at the same time on Monday.Data from Germany's Federal Statistical Office showed the country's industrial production decreased for a third straight month in November, defying expectations for an increase, amid a sharp fall in consumer goods and energy output.Industrial production fell a calendar and seasonally adjusted 1.9% from October, when it decreased 0.8%, revised from 0.5%. Economists had expected a 0.3% increase.Manufacture of consumer goods fell 4.1%, while energy output declined 3.1%."We now think production fell 1.4% quarter-on-quarter in Q4, only slightly worse than the 1.7% plunge in Q3," said Claus Vistesen, chief eurozone economist at Pantheon Macroeconomics. "In other words, the German manufacturing sector was in recession in the second half of 2018, reflecting in part the fact that the industry hit capacity constraints earlier in the year and rising global uncertainty amid the trade conflict between the US and China."Among the risers in the FTSE 100 on Tuesday was Ashtead Group, closing up 3.8% after UBS lifted its rating on the equipment rental firm to Neutral from Sell. Another company benefiting from some broker rating action was energy provider SSE, closing up 2.6% after Goldman Sachs resumed its rating on the stock with a Buy recommendation. One of the session's biggest fallers was Wm Morrison Supermarkets, shedding 3.2% as its Christmas sales failed to live up to analyst expectations.For the 9 weeks to January 6, Morrisons reported 3.6% growth in group like-for-like sales excluding fuel, with retail sales inching 0.6% higher and wholesale rising 3.0%. Like-for-like sales, including fuel, grew 3.4%.Company-compiled consensus forecast Morrison to have posted a 0.5% rise in retail like-for-like sales with group like-for-like sales up 4.1% in the holiday period, meaning that the retailer fell slightly short of expectations.The update from the Bradford-headquartered supermarket came as Kantar Worldpanel released its latest grocery market share figures and reported on a record festive season for the sector. The research agency - reporting market share figures for the 12 weeks to December 30 - said that overall UK grocers achieved GBP29.3 billion in sales during the festive season up 1.6% on the prior year, with consumers spending an extra GBP450 million on groceries compared to a year ago. December 22 was the busiest shopping day of the year, as more than half of all households visited a supermarket for a last minute "Christmas dash". Kantar said two thirds of households shopped at German discounters Aldi and its rival Lidl over the 12-week period, leading to a highest-ever combined Christmas market share of 12.8%.Of the big four supermarkets, Walmart-owned Asda, which is in the process of merging with J Sainsbury, came on top with overall year-on-year sales growth of 0.7% in the 12 week period. Sainsbury's sales fell 0.4%.UK's biggest supermarket, Tesco, came in just behind Asda after experiencing sales growth of 0.6%. Morrisons sales grew 0.1%, while online retailer Ocado saw sales rise 1.3%.Shares in Ocado closed up 3.2%, Tesco up 3.4%, though Sainsbury's closed down 1.6%.Shares in outsourcer Serco closed up 6.4% after the company secured two contracts from the UK Home Office Visas & Immigration department, worth around GBP1.9 billion over a 10-year term. Under the contract, Serco will provide asylum support services in two UK regions: the North West of England and the Midlands & East of England.The regions of Scotland, Northern Ireland & the North East, and Yorkshire & the Humber were awarded to Mears Group, causing the firm's shares to rise 7.7%. The contracts are expected to deliver revenue exceeding GBP1.0 billion for Mears over their 10 year terms.Finishing as the biggest loser in the FTSE 250 on Tuesday was SIG, down 5.3% after trading was knocked by challenging end-markets in the second half of its financial year. SIG said its focus on better pricing management and planned withdrawals from unprofitable businesses reduced revenue in the second half of 2018. SIG's like-for-like revenue for 2018 is expected to come in 2.3% lower year-on-year.A weaker trading environment reduced demand for SIG's products, it said, and was a key factor behind lower like-for-like revenue in the UK & Ireland, which was down 8.8% in the second half of 2018.Trading conditions in construction markets across mainland Europe also slowed materially, SIG said, particularly in France and Germany, where like-for-like revenue was down by 3.2% and 4.6%, respectively.Brent oil was quoted at USD58.20 a barrel at the London equities close Tuesday from USD58.18 late Monday.Gold was quoted at USD1,284.76 an ounce at the London equities close Tuesday against USD1,287.40 at the close on Monday.In the economic calendar on Wednesday are German exports and the trade balance due at 0700 GMT, while eurozone unemployment is at 1000 GMT. The Bank of Canada releases its latest interest rate decision at 1500 GMT, while in the UK Bank of England Governor Mark Carney speaks at 1530 GMT. At 1900 GMT, the US Federal Reserve releases the minutes of the latest Federal Open Market committee minutes. In the UK corporate calendar are trading statements from grocer J Sainsbury, baker Greggs and fashion retailer Ted Baker, while gold miner Centamin puts out fourth quarter production figures.