The FTSE100 is currently up 23.5 points at 5,693.3 with the FTSE250 up 6.4 points at 9,081.6 and the FTSE Smallcaps slightly lower at 3,385.6.
Looking ahead to Wall Street, spread bettors IG Index expect the DJIA to open 10 points higher at 11,012 following yesterday's late trade bounce back.
Today’s look at individual Stocks:
Cadbury climbed 7.5p to 510.5p, after an in-line trading update from the confectionary group. The company said it expects to deliver good revenue growth in 2006, towards the upper end of its target of 3% to 5%. In response to this, Merrill Lynch reiterated its buy advice and said the stock represents good value after the 15% sell off in the last couple of months.
Severn Trent was the stock to top the gainers board today up 30p at 1,232p, after posting very good full-year results yesterday.
Positive Broker comment gave Diageo a lift up sending the shares 15p higher at 909p, after the drinks giant was upgraded to buy from hold at Deutsche Bank.
Centrica was also up this morning 3.5p higher at 273.75p, on renewed bid hopes, after the FT reported that long-time suitor Gazprom has reaffirmed its interest in entering the UK market through ‘strategic partnerships and acquisitions’.
William Morrison was on the up 2.25p at 195.25p amid press reports Ken Morrison (executive chairman of the supermarket chain) is to give up his executive responsibilities. The FT said the move is part of a deal to secure Marc Bolland (chief operating officer of Heineken) as the new CEO.
On the downside this morning we once again saw mining stocks give up gains as commodity prices continued to slide, with gold losing as much as $6.7 to $628 per ounce.
In response to this, Xstrata is currently down 66p to 1,873p. Kazakhmys is down 24.5p at 1,063.5p. Antofagasta is down 64p at 1,895p and Anglo American is down 32p at 1,960p.
PartyGaming remained a big casualty this morning, down 5.75p at 116.5p, amid news Dresdner Kleinwort Wasserstein is to place 350 million shares in the on-line gaming firm on behalf of two of its founders. The placing, representing around 8.5% of the company's share capital. PartyGaming shares were floated at 116p last year and the founders are thought to want an exit above this level.
There is speculation amongst traders this morning that some hedge funds are trying to push the price down to around 110p a share and the founders would settle for a level of 114p to 115p. UBS reiterated its neutral stance, although lowered its target to 135p from 142p, pointing out that the founders are not expected to sell stock below the flotation price.
Shares in BAA fell this morning 13.5p to 934.5p amid continued uncertainty over its future, with the FT reporting that Goldman Sachs insists it is not out of the takeover battle yet.
The Telegraph however claims Ferrovial wanted to buy more than 14% in BAA yesterday but could not do so until it receives approval from the Australian regulators.
BAA confirmed it has agreed to be taken over by a consortium led by the Spanish infrastructure group for £10.11 billion, after rebuffing a slightly higher proposal from a rival consortium led by Goldman Sachs. In reaction to the news, ING cut its rating on BAA stock to hold from buy saying that it thought the Ferrovial bid represented a very full price.
EasyJet shares gained this morning up 7p at 353p, after the no-frills airline monthly traffic report showed the revenue environment remains robust, with 2.94 million passengers in May, an increase of 15.2% on the same month last year, reflecting a capacity rise of 15.5%. The shares are currently trading up 4.41% at 361.25.
