UK small caps and junior-listed AIM shares rise 0.7 and 0.1percent, respectively, outperforming the blue chips, which fall by 0.3percent.
Redhall slumps 17.9 percent, the top AIM-listed faller, after theengineering firm gives a disappointing trading update, with results now expectedto miss market expectations.
"The nuclear operation has seen a lower level of activity, with some slowertrading also seen at its Engineering operation. As a result we reduce our 2013EPS forecast by 35 percent," finnCap says in a trading note, cutting its targetprice on the stock.
"This is a disappointing setback for the group, which has been hit byseveral problems over recent years. The shares are likely to react negativelytoday on this downbeat news, but we still see longer-term value once near-termissues are resolved," the note adds.
Charles Stanley, meanwhile, downgrades the stock, to "hold" from a previous"buy" recommendation.
Zanaga Iron Ore gains 11.8 percent after news that the design ofthe Zanaga project - co-owned with Glencore Xstrata - is to be revised,cutting initial spending on the site.
The announcement highlights "the potential for a more capitally efficientproject," according to Liberum, who retain a "buy" rating on the stock.
Reuters messaging rm://alistair.smout.thomsonreuters.com@reuters.net
Zanaga Iron (ZIOC)
