Telecom and banking stocks keep Footsie on the rise
Rises in telecom and banking shares are keeping the Footsie index of 100 leading stocks with its head just above water.
Following a subdued close yesterday, the London market has got off to a lacklustre start. The index is up 6.1 points following an hour of trading to stand at 6007.9.
Yesterday's Budget gave the market few surprises and the City is now looking forward to the interest rate decision by the Bank of England's Monetary Policy Committee, which is expected to leave rates on hold.
Among the telecoms shares staging a rally following yesterday's slips is Vodafone, up 4½p at 206¾p.
Other risers include Telewest Communications, up 4p at 141p; and BT, ahead 4p at 582p; while Kingston Communications is up 7¾p to 150p.
Banking shares are also lending a helping hand, with Lloyds TSB rising 9p to 673p; Abbey National up 19p at £11.85; and HSBC rising 15p to 913p.
But shares in engineering group GKN have fallen by 9% or 73p to 737p on concerns about the effect the US slowdown may have on its business. This was despite the firm reporting a 6% increase in full-year profits.
Discount retailer TJ Hughes is also suffering after saying it has made an additional charge of £2.5m to £3m against this year's results following the commission of a new management control system. Its shares have fallen by 31% or 99p to 221p.
