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| Movers |
Barclays fell 4p to £2.98, Royal Bank of Scotland (RBS.L) eased 0.4p to 43.1p and Lloyds (LLOY.L) was 0.3p lower at 59.7p.
Earlier in the day, Moody’s cut Ireland’s credit rating by two levels, to the lowest investment grade, as the debt-ridden country struggled to fostereconomic growth while lowering its budget deficit.
The ratings agency said its outlook on the government’s ratings remained ‘negative,’ adding that its financial strength could decline further if economic growth were to be weaker than projected, or if fiscal adjustment were to fall short of the planned consolidation path.
Man Group climbs
Man Group (EMG.L) topped the leader board, rebounding 7p to £2.47 reportedly on the back of upbeat broker comment on the world's biggest listed hedge fund manager from Bank of America Merrill Lynch.Defensive stocks were also in favour, with Imperial Tobacco (IMT.L) advancing 18p to £20.23 and British American Tobacco hardening 20p to £25.53, while Drugsmaker GlaxoSmithKline (GSK.L) rose 9p to £12.50.
British American Tobacco (BATS.L), whose shares have added 12% in the last year, is a top ten holding in Mark Lyttleton’s Blackrock UK fund.
Reckitt Benckiser (RB.L) bounced slightly, gaining 28p to £31.43, following its steep losses on Wednesday in the wake of its chief executive’s departure.
Miners go south
Miners were among the biggest losers after higher-than-expected inflation data stoked fears over further monetary tightening in China.Vedanta Resources (VED.L) eased 22p to £23.10, Rio Tinto (RIO.L) slipped 39p to £43.12 and BHP Billiton (BLT.L) slid 18p to £25.01.
Micro Focus slumps
Micro Focus was a notable mover among midcap stocks, tumbling 41p, or 13%, to £2.75 after it announced that Nigel Clifford, chief executive, was leaving.The application modernisation software firm said Kevin Loosemore, chairman, would move to an executive role. David Toms and Will Wallis, analysts at Numis, pointed out that this was not the first time that Loosemore had ‘stepped up to the plate’ and that he was well-known among shareholders. ‘In our view this is the right move - the company needs decisive action both in terms of restructuring and to stabilise and reinvigorate sales,’ they said in a research note.
But they added: ‘This does represent another change for shareholders to come to terms with, and coming so close to quarter end, is likely to create uncertainty around the shares.’
Sources: http://citywire.co.uk
