The FTSE 100 is seen 0.4% higher today after shedding 0.9% yesterday amid renewed worries over the European debt crisis and declines in the mining and energy sectors, which got hit by lower commodity prices.
Markets got some help from yesterday’s update from the International Council of Shopping Centers, which said that retail sales rose 9% year on year in March due to an early Easter and warmer weather.
US shares closed higher following a negative start. The Dow Jones Industrial Average and the broader S&P 500 index added 0.3%, while the technology heavy NASDAQ composite rose 0.2%.
Asian stocks were on the rise today. Hong Kong’s Hang Seng rallied 1.35%, China’s Shanghai Composite Index added 0.6%, Japan’s benchmark Nikkei 225 improved 0.3% and Australia’s S&P/ASX 200 climbed 0.2%, however, South Korea’s KOSPI went against6 the tide, falling 0.5%.
Airline British Airways (LSE: BAY) emerged atop the leaderboard with a 3% gain. Medical devices manufacturer Smith & Nephew (LSE: SN) and interdealer broker ICAP (LSE: IAP) followed, climbing 1.7%. London Stock Exchange Group (LSE: LSE) and engineering company Smiths Group (LSE: SMIN) were the only other FTSE 100 constituents to add more than 1%, tacking on 1.5% and 1.2% respectively.
Miners Xstrata (LSE: XTA) and Eurasian Natural Resources (LSE: ENRC) were at the bottom of the pile with losses of 3.8% and 3.2% respectively. Other notable fallers included bank Lloyds (LSE: LLOY), fashion house Burberry (LSE: BRBY) and retailer Marks & Spencer (LSE: MKS), which lost nearly 3%. Specialty chemicals firm Johnson Matthey (LSE: JMAT) and insurer Old Mutual (LSE: OML) declined 2.5%.
Commodities
Oil prices advanced after falling yesterday. May Brent Crude improved to US$85.46/barrel, while US light, sweet crude rose to US$85.97/barrel.
Precious metals also rose. Gold and silver reached US$1,154/oz and US$18.17/oz, while platinum held steady at US$1,713/oz.
Base metals followed. Copper and nickel advanced to US$3.58/lb and US$11.25/lb, while zinc US$1.07/lb.
UK wholesale inflation data is due to be released today.
Morning News Wrap
In the FTSE 100, miner Rio Tinto (LSE: RIO) has said it is currently negotiating contracts with its customers to supply iron ore priced on a quarterly basis.
In the FTSE 250, recruitment firm Michael Page Intl (LSE: MPI) said its Q1 profit increased 7.9% quarter on quarter and 2.9% year on year to £97.8 million.
In AIM, diamond miner Gemfields (AIM: GEM) that following his appointment as CFO on 1 January 2010, Mr Devidas Krishna Shetty has now joined the Board of Directors, with effect from 1 April 2010.
Developer of vision based industrial systems Seeing Machines (AIM: SEE) has raised £3.3 million through a placing.