News

Footsie is making good progress into the afternoon session with mining stocks among the biggest gainers on higher base metals prices.

Copper, which rose by the daily permitted limit in trading in Shanghai, led the way, but zinc and nickel have also rallied. Anglo American, Xstrata and ENRC have all stormed ahead in response.

Travel operator TUI Travel is to implement significant capacity reductions across its source markets to recover input costs in anticipation of a period of weaker demand, it has. Fellow travel agent Thomas Cook is also among the top FTSE 100 risers.

Prudential is the best performer with other life groups also going well. Reports that Clive Cowdery, the insurance entrepreneur, is pressing ahead with the planned initial public offering of his new vehicle, has put the spotlight on a number of potential targets in life sector. Friends Provident is also making good ground. It has been suggested as a possible target for Cowdery.

Defensively oriented stocks such as utilities National Grid and Severn Trent are among the few in the red.

Ladbrokes is not immune from recession, JP Morgan said as it trimmed its target price on the bookmaker to 190p from 220p.The broker cited the example of Ladbrokes' peer William Hill, which was hit by the recession of the early 1990s.

Anglo Dutch IT company Logica reported a 7% rise in third-quarter revenue and raised its full year revenue guidance to slightly above 4%, but the shares are under pressure on some cautious broker notes about prospects. Killick Capital analyst Jonathan Jackson said forecasts are vulnerable and he is concerned about a slowdown in corporate expenditure.

Tullett Prebon posted a 26% rise in revenue to £332m in the four months to October and said it is taking action to reduce its cost base for next year. The inter-dealer broker said its financial position is strong, with net debt lower than reported at the half year.

Oil and gas firm Salamander Energy average production forecast is expected to increase by 60% in 2009 to approximately 16,000 boepd. Average daily production since the start of September has been approximately 13,000 boepd.

Russian-focused gold producer Peter Hambro Mining has moved to clarify recent comments about its reserve and resources levels, claiming they were based on a misunderstanding of its position.

New Star Asset Management's funds under management fell by 16% to £16.7bn in the three months to September and have since fallen further to £14.3bn currently.

Business services software supplier Anite said overall operating profits were up "significantly" with operating margins rising to over 25% in the six months to October.

Material technology firm Dyson warned that its performance for the second half of the current year is likely to fall significantly below expectations and said it does not expect to pay any interim dividend.