6th September 2013
The FTSE 100 enjoyed a strong start to September with a 2 per cent gain over the week to close at 6,547.33 on Friday, up 14.89 points on the day.
A spate of upbeat purchasing managers’ indices for Europe, China and the UK unveiled at the start of the week set the benchmark index off on the right foot.
The positive figures showed that manufacturing activity increased in each of the regions while economic momentum in the embattled eurozone also seemed to be moving in the right direction.
The market reaction towards mining and energy stocks was decidedly mixed. Anglo American was the week’s highest riser, gaining 7 per cent to 1,581p while Tullow Oil and Rio Tinto managed to gain 6 per cent apiece to close at 1,070p and 3,097p respectively.
On the other side of the benchmark, miner Fresnillo, endured the steepest fall over the week, losing 3 per cent to 1,264p. Randgold Resources was not far behind, falling 2 per cent to close at 4,989p. Drugs giant AstraZeneca and Carnival, both fell 2 per cent to 3,117.5p and 2,352p.
Vodafone hogged most of the headlines. Following the announcement that it was in advanced talks to sell its 45 per cent stake in Verizon Wireless to Verizon Communications, a deal worth some £84bn, its shares moved up 2 per cent to 210.75p.
Elsewhere fund manager Aberdeen Asset Management was slapped with a £7.2m fine by City watchdog, the Financial Conduct Authority, for failing to protect client money properly in the three years to 2011. The penalty did not hurt the group’s shares over the week as they rose 5 per cent to 370.6p.
The banking sector enjoyed a better week than last, with Lloyds Banking Group 4 per cent stronger at 75.41p and HSBC and Barclays both 5 per cent ahead at 708.3p and 297p respectively. Royal Bank of Scotland pushed up 1 per cent to 337p.
Next week sees market updates from fashion retailer Next, supermarket Morrison and DIY group Kingfisher.