News

Good gains among the drug majors are keeping London in the blue, with positive broker comment and signs that Wall Street will start higher also aiding sentiment.

Investors looking for defensive plays are favouring GlaxoSmithKline and AstraZeneca. Utilities Scottish & Southern Energy, National Grid, International Power are also doing well, as are cigarette giants Imperial and BAT .

Broker Cazenove upgraded its fair value estimate for British Energy from 660p to 730p, sending the nuclear power supplier north, while the strong oil price continue to help BP and Shell.

Schroders is the biggest loser after the fund manager was downgraded to a "sell" at Citigroup from "hold". New Star Asset Management has suffered as it is now only rated a "hold" by the US bank.

J Sainsbury is sharply lower on a story that it may have missed internal sales and profit targets in the crucial run-up to Christmas due to heavy discounts and fierce competition.

Marks & Spencer is down for similar reasons. It may reveal its worst Christmas trading for two years with a fall in like-for-like sales, according to newspapers reported yesterday.

Elsewhere in the retail sector Home Retail, Next, DSG and Kingfisher are keeping Sainsbury's and M&S company in the doghouse.

Privately owned Global Radio has confirmed that it made a bid approach to GCap Media that was rejected by the commercial radio group. "This approach was conditional, inter alia, on limited due diligence and the recommendation of the GCap board for any offer," Global Radio said in a statement. "The approach was rejected by the GCap board," it added. GCap Media also confirmed that it has rejected a 190p per share cash offer from Global Radio. The indicative proposal "significantly undervalued" the company, its statement said.

Engine consultant Ricardo says order intake levels have remained strong and this has led to an increase in both revenue and profit. Robust management of working capital is expected to lead to only a modest increase to the closing net debt balance at the half year, from the closing position at June 2007.

Paving stone supplier Marshalls' is striding forwards after disclosing that revenue from continuing operations in 2007 increased 7% to £403m.

Data search software specialist Autonomy finds support after announcing its fourth contract win of 2008. The company has added Adobe and Lloyds TSB to its customer list.

Bingo operator Rank is in profit on hopes that Chancellor Alistair Darling might look favourably in the next budget on industry demands for the bingo duty to be abolished. Bingo operators are unique in the gambling industry in that they pay both VAT and gaming duty.

Accountancy services group Vantis races ahead after being named Europe's 153rd fastest growing company in 2007 by "Europe's 500: Entrepreneurs for Growth", a European non-profit membership and networking organisation.

Network Data Solutions advances after suspending support for Homeowners Mortgages, its proposed whole of market lending proposition. The group's core business, Network Data Limited, continues to trade well and saw a double-digit percentage increase in the amount of new mortgage business generated in 2007.

Trading has continued to improve at Cosentino Signature Wines, with full year revenues expected to show growth of over 35% year-on-year to around $11m.

China Goldmines is glittering after securing licence certificates for its eight mines at the Shenjiaya Prospect in the Hunan Province of China,

PV Crystalox Solar expects full-year EBIT before non-recurring costs to be ahead of market estimates and not less than €70m. The group, which produces and supplies multicrystalline silicon ingots and wafers for use in solar electricity generation systems, said it has seen a strong financial performance in the final part of the year.