Reuters logo
Next, GKN help Britain's FTSE rise after upbeat updates
July 29, 2014 / 8:11 AM / 3 years ago

Next, GKN help Britain's FTSE rise after upbeat updates

* FTSE 100 up 0.3 pct

* GKN, Next lead gains on strong results

* BP also lends support after results

By Francesco Canepa

LONDON, July 29 (Reuters) - Britain’s top equity index was a touch higher on Tuesday, led by fashion chain Next and car and plane parts maker GKN after strong results and outlook comments.

Shares in GKN and Next were the top risers on the FTSE, up 5.7 percent and 2.5 percent. The former raised its dividend as its profits rose; the latter increased its earnings guidance after a strong second quarter.

“In both cases, good numbers,” said Patrick Butler, chief executive at Prime Wealth Group, which had recommended GKN as its tip for August.

“GKN was being punished for a stronger sterling ... but we didn’t think the company was going to be as badly affected as the market had anticipated. Next has come out with another stunning set of numbers and sales are higher than anticipated.”

Britain’s FTSE 100 was up 17.87 points, or 0.3 percent, at 6,805.94 points at 0750 GMT. The index has traded in a 1 percent range for the past week as investors awaited this week’s key economic data, which culminate in the U.S. non-farm payrolls report on Friday.

British retailers and housebuilders will be in focus at 0830 GMT, when consumer credit and mortgage lending figures for June are due.

Conflict in Palestine, where Israel has invaded the Gaza strip, and tensions between Western powers and Russia over Ukraine have further dampened appetite for risk this month.

BP rose 0.5 percent and added 1.7 points to the FTSE. The oil major posted a better-than-expected 34 percent rise in quarterly profit after increasing production of higher-margin products and selling its liquids and gas at higher prices.

The company’s production, however, fell nearly 3 percent to 3.1 million barrels of oil equivalent a day. Russian crude oil production made up about a third of the company’s output. (Reporting By Francesco Canepa; Editing by Larry King)

Our Standards:The Thomson Reuters Trust Principles.
0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below