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FTSE tumbles with Wall St, Europe as miners slump

04 September 2015 17:08

FTSE indices tumbled alongside faltering US and European markets as miners took a pasting on China economic concerns and weaker spot-copper prices. Oil majors felt the pain, as did retailers and financials. Wall St fell about 1% or more. Germany's DAX lost 2.58% and France's CAC 40 eased 2.68%.

FTSE 100 closed down 151.18 points, or 2.44%, to 6042.92. FTSE 250 was down 279.22, or 1.63%, to 16,808. Both remained off closing lows seen in late August. At 4.43pm, spot gold was at $1120/oz, and spot copper was down 2.22% to $233.15/lb. Three-month industrial metals were mostly lower. Crude was down about 1%.

Miners were the main ballast this afternoon. Anglo American (AAL) dumped 7.79% to 668.5p, with Glencore (GLEN) softening 5.96% to 123.15p and Antofagasta (ANTO) sliding 5.36% to 564.5p. Several other miners numbered among the top-10 blue chip fallers.

Retail was hot on the metals burrowers' tails. Dixons Carphone (DC.) lost 4.32% to 412.3p, while Burberry (BRBY) sank 3.59% to 1343p. Oilies were also weaker behind BP (BP.), which fell 5.04% to 337.9p. Shell (RDSA) faded 3.28% to 1605p. Banks tapered off behind Asia-facing Standard Chartered (STAN), off 3.79% to 713.3p.

Elsewhere among financials plotting a southerly course were insurers and investment specialists, while supermarkets were queuing up in the discount aisle with tobacco outfits, consumer goods titans and property stocks of all flavours. About two blue chips made gains.

AstraZeneca (AZN), off 1.55% to 4181.5p, said the US FDA has okayed Brilinta (ticagrelor) tablets at a new 60mg dose to be used in patients with a history of heart attack beyond the first year.

BIGGER MOVERS

IS Solutions (ISL), up 34.62% to 70p, is confident of another strong performance for the year ending March 2016 with revenue and profitability exceeding current market expectations.

Kodal Minerals (KOD), down 27.27% to 0.04p, has booked a FY pretax loss of £3.9m, up from £232,705 last time. Revenues were nil.

Beowulf Mining (BEM), up 19.15% to 2.8p, remains optimistic about a positive decision on its application for an exploitation concession for Kallak North.

Goldplat (GDP), up 16.67% to 2.63p, has reported significant progress on capital projects and new contracts aimed at improving the production and efficiency of its gold recovery operation in South Africa.

ECONOMIC NEWS

Stateside, the US unemployment rate edged down to 5.1% in August from 5.3% and the number of unemployed persons edged down to 8.0 million, US Bureau of Labor Statistics said. It said US average hourly earnings for all employees on private non-farm payrolls rose by 8 cents to $25.09 in August following a 6-cent gain in July.

US total non-farm payroll employment rose 173,000 in August, US Bureau of Labor Statistics said. Job gains occurred in health care and social assistance and in financial activities. Manufacturing and mining lost jobs.

Euro zone's retail purchasing managers' index printed at 51.4 for August, from 54.2 previously. Meantime, German factory orders fell a greater than expected 1.4% in July, from June's revised 2.0% gain and against expectations for a fall of 0.5%.

LONDON HIGHLIGHTS

Trading Emissions (TRE), up 13.74% to 4.76p, said an arbitration tribunal has found in its favour and dismissed a claim by a subsidiary of Yunnan Dianneng (Group) Holding Co. Ltd. The original claim was for about 7m euros but was subsequently revised by Dianneng to 9m euros towards the end of the arbitration process.

Bioventix (BVXP), up 14.97% to 1075p, expects FY pretax profits to be significantly ahead of market forecasts. Its core business remains robust and that revenues for the year are seen in excess of £4.2m, from £3.5m previously.

Kellan Group (KLN), down 14.29% to 2.25p, said H1 sales hit £11.5m, from £10.7m a year ago. Net fee income (NFI) fell from £3.9m in H1 2014 to £3.7m but operating profit rose to £0.3m from £0.1m in H1 2014 and £0.16m in H2 2014.

Scisys (SSY), up 3.13% to 66p, said it is pleased that its UK banks have confirmed their position and continue to be very supportive of the business.

Provexis (PXS), up 2.56% to 0.5p, has more than halved its FY pretax loss to £0.5m, from a loss of £1.01m. Revenue was £38,224, from £3967. Administrative costs were responsible for the rump of the losses.

Gear4music (G4M) gained 1.79% at 142.5p on a positive maiden trading update since joining AIM in June, flagging a 43% interim sales surge to £12.5m.

Aer Lingus (AERL), including Aer Lingus Regional, carried 1.27m passengers in August, 5.3% up on a year ago. Aer Lingus mainline figures showed short-haul passenger figures rising by 5.7% to 965,000 and long-haul passengers up 16.9% to 173,000. AERL fell 0.4% to 2.51p.

Other stocks in the news included Clean Air Power (CAP), EMIS Group (EMIS) and VinaLand (VNL).

Story provided by StockMarketWire.com

Related Company: ISL

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