Share Prices & Company Research

Market News

03 Aug 2018 | 09:09

UK stocks open 0.5% higher as RBS breaks dividend drought

UK stocks opened higher on Friday after a weaker pound helped exporters and Royal Bank of Scotland said it would pay its first dividend in a decade.

At 0905, the benchmark FTSE 100 index was up 34.65 points, or 0.5%, at 7.610.58.

Royal Bank of Scotland gained 2.7% after it broke the dividend drought with a 2p per share payment, despite posting weaker interim earnings, and dangled the possibility of special returns to shareholders next year.

Gambling group William Hill dropped 9.1% after it booked a huge write-down to account for a looming regulatory cap on fixed-odd sports betting terminals, sending it to a deep first-half loss.

The bad news rippled across the sector, with Paddy Power Betfair falling 1.7%, despite announcing that its US subsidiary FanDuel Group had partnered with Boyd Gaming to expand its presence in promising US sports betting markets.

British Airways-owner International Consolidated Airlines Group descended 4.6% after first-half profits were dragged down by higher fuel costs and industrial action.

Mondi rallied 5.7% as strong demand for its cardboard packaging from e-commerce providers drove a 17% rise in underlying earnings.

Defence contractor Cobham, which has been plagued by delays with a new Boeing re-fueling tanker, had some rare good news for investors. Its shares gained 2.0% after first-half pretax profits and revenue fell less than expected.

Millennium & Copthor Hotels posted a 3.2% rise in first-half profit after revenue growth in Asia was offset by falling revenue in London. Its shares fell 0.6%.

Quality assurance group Intertek agreed to acquire US software provider Alchemy for $480m. Its shares gained 0.8%.

Insurance company Phoenix Group Holdings said it had hired former Lehman Brothers banker Nicholas Lyons as its new chairman. Its shares gained 0.5%.

Story provided by
Get in touch today
Join Redmayne Bentley
Talk to us now about opening a new account or transferring your account from another provider
0113 243 6941
Get in touch today
Contact your local office
Contact your local office to find out more
The value of your investments and the income from them may go down as well as up, and you could get back less than you invested.
We use cookies on this site to improve your experience and help us provide you with a better website. An explanation of the cookies we use and their purpose can be found within our Cookie Policy. Your continued use of this site means you consent to the use of cookies.