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* FTSE 100 edges up, FTSE 250 rises 0.1%
* Bourses gain after steep losses on Monday
* Crest Nicholson leads housebuilders higher
* A.G. Barr jumps on upbeat profit view
(Adds news items, analyst comments, updates share prices)
By Shashwat Awasthi
Jan 28 (Reuters) - Britain's benchmark stock indexes
rebounded modestly after shedding more than 2% in the previous
session, as dealers still assess the potential fallout from the
fast-spreading coronavirus.
After suffering its worst day since early October 2019, the
FTSE 100 edged up 0.1% on Tuesday. The FTSE 250
rebounded from its biggest one-day fall in more than a year to
add 0.1% by 0900 GMT.
Midcap Irn-Bru maker A.G. Barr soared 14%, on course
for its best day since October 2005, after it forecast annual
profit to be at the top end of the current market view.
Housebuilder Crest Nicholson rose 2.3% after it
said British Prime Minister Boris Johnson's sweeping victory in
the general election last month would support the sector in the
near term.
Shares of fellow housebuilders, which were subdued last year
in the face of Brexit-related uncertainty, also advanced.
Barratt and Taylor Wimpey rose roughly 1%.
An index of leisure and airline stocks clawed
back some losses from its worst day in more than
three-and-a-half years, and rose 0.6%. InterContinental Hotels
gained 1.8%.
However, luxury brand Burberry gave up 1.3%, a
clear sign that traders remain uncertain about further potential
headwinds as a result of the virus outbreak.
BUYING THE DIPS
Financial markets have been battered in recent sessions as
the death toll from the virus mounts and China scrambles to
impose a string of measures to contain its spread.
Britain's blue-chip index has lost more than 1% this month,
while the midcaps have shed over 2%.
Markets.com analyst Neil Wilson suggested the recent slide
in stock markets made for a more attractive entry point into
equities for some investors.
"Buying the dips is alive and well - I would anticipate dips
to be buying opportunities for many in the market," he said.
However, Wilson remained sceptical of the market's ability
to sustain the gains due to limited visibility of the situation
in China and its potential impact.
Among smaller stocks, tourism and insurance firm Saga
added 3.5% after saying it was on track to meet its
annual profit outlook, despite a one-off charge related to the
collapse of Thomas Cook last year.
By contrast, Nostrum Oil & Gas slumped 8% after it
forecast lower revenue for 2019 and said its production would
drop next year.
(Reporting by Shashwat Awasthi in Bengaluru; Editing by Shounak
Dasgupta)
