The pound erases the gains
LLondon midcaps reversed course to reach their best day in two weeks, spurred on by construction firm actions Morgan sindall reaching an all time high.
The group has passed the FTSE 250 ranking after saying that this year’s profits would be “significantly higher than previous expectations.” The bosses said all divisions – including property maintenance, infrastructure development and house construction – had a “positive” start to the year. Its construction backlog grew 10% and the total secure workload was Â£ 8.1bn for the first three months of the year.
Brokers raised their price targets for the stock after raising its annual outlook, and shares climbed 367p to Â£ 22.35, more than 20% above its previous high. The gains propelled the FTSE 250 up 279.14 points to 22,364.87.
A weaker pound and higher attendance rates, which helped retail stocks, pushed the FTSE 100 higher to consolidate the gains of the previous session. He finished by 42.95 points at 6,938.24, just below the 7,000 level he crossed at the end of last week.
The pound fell 0.6 pc against the US dollar to $ 1.385, reversing the week’s gains as investors weighed on the prospects for a UK economic recovery ahead of retail sales and flash PMIs expected today. The currency had strengthened against the dollar in recent weeks, as U.S. Treasury yields fell from recent highs and the U.S. currency weakened, hitting a six-week high earlier this year. week. The dollar pushed higher yesterday on improving weekly employment figures.
The pound sterling also fell 0.4 pc to â¬ 1.153 against the euro, backed by the European Central Bank saying there were “clear signs of improvement” in the eurozone economy.
Michael Hewson, Chief Market Analyst at CMC Markets, said: âEuropean markets have been able to consolidate the gains we have seen. [on Wednesday], although there was a slightly more defensive bias than yesterday, with utilities among the best performers, while energy fell behind again due to lower oil prices. “
Among the top risers was a Russian gold miner Polymetal International, which gained 55.5p to Â£ 16.34 after its first quarter production rose 3pc. It was followed by energy company SSE, which rose 50.5 pence to Â£ 15.09.
Airlines have performed well with easyJet earning 45.3p to Â£ 10.11 after announcing a new flight from Cornwall to Gatwick. A “domestic bias” meant the low-cost airline outclassed British Airways owner IAG, according to Hewson, “likely due to the fact that smaller airlines are not exposed to international travel.” FTSE 100 AGI Again rose 6.5p to 200.5p as one of the benchmark’s top risers.
Separately, BAE systems slipped to the bottom of the ranks after signaling he could face an investor revolt over a pay deal for his boss. The shares closed down 26.5p to 499.9p.