This Morning's Top FTSE Movers

LONDON -- The big market driver today is the Bank of England's (B of E) new stimulus package, which gave a much-needed boost to the U.K.'s banking sector. Announced yesterday, the new measures will see billions in cheap credit provided to banks to lend on to business customers, in an effort to offset some of the contagion from the eurozone. It marks a change from the previous approach of quantitative easing, after banks were criticized for hanging on to too much of the cash and not passing on the liquidity as hoped.

The FTSE 100 (INDEX: ^FTSE  ) responded with an early 45-point rise to 5,510, though it's again of less than 1% and the index is still down on the week.

Other European indexes followed suit with similar percentage gains -- the German DAX rose 58 points to 6.197 (1%) and in France the CAC 40 put on 39 points to 3,073 (1.4%).

Good for banks
Bank shares responded appropriately, with Royal Bank of Scotland (NYSE: RBS  ) leading the way with a 6% rise to 244 pence, closely followed by Barclays, up 5% to 202 pence, and Lloyds Banking Group up 4% to 31 pence. HSBC Holdings trailed, rising less than 2% to 555 pence.

Some of the miners regained a little of yesterday's losses, led by Xstrata (LSE: XTA.L  ) up 18 pence to 918 pence, and Rio Tinto up 76 pence to 2,942 pence -- a little over 2% in each case.

At the red end of the table, BSkyB Group (LSE: BSY.L  ) shares fell a further 1.5%, losing 10 pence to 661 pence, though BT Group only dropped 1.3 pence to 200 pence, as the wisdom of paying such high prices for football rights continues to be questioned.

Mixed company news
Premier Foods (LSE: PFD.L  ) has had a bad time of late, with its shares losing more than 60% over the past 12 months. But things were sweetened a little this morning with the announcement that the firm has agreed to sell its vinegar and sour pickles business to Mizkan Group for 41 million pounds. The shares gained 11% on the news, up 9 pence to 89 pence.

Shares in Lamprell put on 10 pence for a gain of 13% to 89 pence on news that the company has successfully delivered an offshore drilling platform.

Meanwhile, a profit warning from Albermarle & Bond pushed the pawnbroker's shares down 6%, falling 17 pence to 259 pence. A pre-close update from Aggreko also disappointed the market, and its shares dropped 91 pence, for a 4% fall to 2,069 pence.

As always, this morning's news saw some winners and losers -- and perhaps some buying opportunities. For more share ideas, the Motley Fool's "Top Sectors For 2012" report outlines some attractive companies within three favorable industries. The report is free to all private investors -- and you can download your copy now.

The Motley Fool is helping Britain invest. Better. And with the economy so uncertain, we're urging everyone to read "10 Steps To Making A Million In The Market" -- it may transform your wealth. Click here now to request your free, no-obligation copy.

Further investment opportunities

Alan Oscroft does not own any share mentioned in this article. The Motley Fool has a disclosure policy.
We Fools may not all hold the same opinions, but we all believe that
considering a diverse range of insights makes us better investors. Try any of our Foolish newsletter services free for 30 days.


Read/Post Comments (0) | Recommend This Article (0)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 1913706, ~/Articles/ArticleHandler.aspx, 12/20/2014 5:21:30 PM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...


Advertisement