Friends Provident leads FTSE into black
Friends Provident led the FTSE 100 Index into the black today after better-than-expected sales figures.
A strong performance from a string of blue-chip companies helped offset a poor performance from oil giant BP and ensured the Footsie pushed 8.9 points ahead to 6135.7 by mid-morning.
The London market got off to a poor start in early trading dragged lower by heavyweight oil stocks as BP faced pressure from US investigators over a blast at one of its refineries.
The company was on the backfoot after suggestions it knew about “significant safety problems” at its Texas City plant where 15 people were killed in an explosion last year.
Softening oil prices did little to help and BP shares slipped 3p to 588.5p with rival Royal Dutch Shell flat at 1886p following an earlier fall.
Insurer Friends Provident streaked ahead at the top of the climber’s board - up more than 5% – following positive third quarter figures. Shares lifted 10p to 204p while shares in rival Legal & General added 2.5p to 144.75p.
But a boost in profits at cigarette maker Imperial Tobacco failed to spark investors.
The world’s fourth largest tobacco company said it gained market shares across all its operating regions as full-year profits lifted 8% to £1.17 billion. UK revenues rose 4% to £835m (€1.2bn), despite a 2% fall in volumes to 23.4 billion after the wider market shrank by 3% over the period. The stock fell 7p to 1832p. British American Tobacco slipped 14p to 1425p but Gallaher added 9.5p to 887p.
Meanwhile, Hovis-to-Mr Kipling foods group RHM was on the up by 7.25p to 270.25p after revealing price hikes at its bread division had sparked a 2% increase in half-year sales. RHM added that an improvement in its Mr Kipling division offset a softer performance in its culinary brands arm.
