FTSE hits new record as miners help European shares inch up
10/01/2017 17:20
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Adds details, closing prices)
* FTSE ends up 0.5 pct, STOXX up 0.1 pct
* Retail in focus, British supermarkets lead
* Miners boosted as copper prices rise
* Just Eat slumps as order growth fails to please
* Portugal's BCP hits record low after cash call
By Helen Reid and Danilo Masoni
LONDON/MILAN, Jan 10 (Reuters) - Britain's FTSE 100
blue-chip index hit fresh record highs on Tuesday, boosted by
gains among retailers, while a rally in mining stocks more than
offset weaker financials, helping European shares end slightly
in positive territory.
The pan-European STOXX 600 index .STOXX inched up 0.1
percent, while the FTSE 100 .FTSE rose 0.5 percent after
hitting a new all-time high of 7,284.81 points. France's CAC 40
.FCHI was flat and Germany's DAX .GDAXI added 0.2 percent.
Retail was heavily in focus. Morrisons MRW.L was among the
top gainers in London after Christmas trading results exceeded
expectations. Its shares ended up 3.6 percent in heavy volumes.
Britain's largest retailer, Tesco TSCO.L , rose 6 percent
after market research showed it had the fastest sales growth of
the country's four major players. urn:newsml:reuters.com:*:nL5N1F01JK
Metro MEOG.DE underperformed its UK peers with a flat
close after the German discount retailer reported sluggish
festive sales.
Mining and metal stocks .SXPP were the top performers, up
3.3 percent, extending their recent gains. The top risers were
Anglo American AAL.L , Rio Tinto RIO.L and BHP Billiton
BLT.L , which tracked the price of copper higher. MET/L
NOT FAST ENOUGH
The fast food delivery company Just Eat JE.L was the top
faller on the STOXX, down 6.9 percent, after reporting full-year
order growth of 42 percent but failing to beat its estimates.
"With a stock trading on such a lofty valuation, the market
has grown to expect the company to exceed its estimates, so
there's a little bit of disappointment," said Michael Stewart,
analyst at Panmure Gordon Equities.
"It highlights the expectation that these companies can go
on upgrading forever. We believe the investment case is intact,
especially if the acquisition of Hungry House goes ahead."
The insurance .SXIP and banking .SX7P sectoral indexes
fell 0.6 percent and 0.1 percent respectively, with Commerzbank
CBKG.DE down 0.7 percent on a UBS downgrade to "sell", and
Deutsche Bank DBKGn.DE down 2.4 percent.
In Lisbon, Banco Commercial Portugues BCP.LS fell 11.3
percent to a fresh record low after the bank approved a heavily
dilutive 1.3-billion-euros cash call to boost its capital
position. urn:newsml:reuters.com:*:nL5N1F01QK
Spain's Banco Popular POP.MC led the Madrid IBEX .IBEX
lower, falling 2.7 percent.
(Editing by Catherine Evans)
((Helen.Reid@thomsonreuters.com; +44 20 7542 7748;))
(( For pan-European market data and news, click on codes in
brackets:
European Equities speed guide................... EUR/EQUITY
FTSEurofirst 300 index.............................. .FTEU3
STOXX Europe index.................................. .STOXX
Top 10 STOXX sectors........................... .PGL.STOXXS
Top 10 EUROSTOXX sectors...................... .PGL.STOXXES
Top 10 Eurofirst 300 sectors................... .PGL.FTEU3S
Top 25 European pct gainers....................... .PG.PEUR
Top 25 European pct losers........................ .PL.PEUR
Main stock markets:
Dow Jones............... .DJI Wall Street report ..... .N
Nikkei 225............. .N225 Tokyo report............ .T
FTSE 100............... .FTSE London report........... .L
Xetra DAX............. .GDAXI CAC-40............... .FCHI
World Indices..................................... 0#.INDEX
Reuters survey of world bourse outlook......... EQUITYPOLL1
Western European IPO diary......................... WEU/IPO
European Asset Allocation........................ EUR/ASSET
Reuters News at a Glance: Equities................. TOP/EQE
Main currency report:................................. FRX/ ))
Keywords: EUROPE STOCKS/