London open: Stocks little changed ahead of UK GDP figures

London stocks were little changed in early trade as investors digested a slew of corporate news and looked ahead to the release of some key UK economic growth figures.

At 0830 GMT, the FTSE 100 was up 0.1% to 7,172.51.

The release of fourth-quarter gross domestic product data for the UK is at 0930 GMT, while the CBI distributive trades survey is at 1100 GMT.

Spreadex’s Connor Campbell said: “The FTSE is still struggling to join in with the Trump rally this Thursday, the index floundering as it awaits the first glimpse at the UK’s fourth quarter GDP figure.

“Analysts are forecasting growth of 0.5% across Q4 – a slight dip on the 0.6% produced in the third quarter, but still a solid reading considering the Brexit uncertainty that defined the second half of 2016. The problem for the FTSE this morning is that any positive reaction to the GDP number will likely be absorbed by the pound, which has continued to build on its recent highs.”

On Wednesday, the Dow closed above 20,000 for the first time as the rally that began in the aftermath of Trump’s presidential win resumed.

In UK corporate news, equipment rental group Ashtead was the biggest riser on positive read-across from US peer United Rentals, whose fourth-quarter earnings on Wednesday beat analysts’ expectations.

Royal Bank of Scotland edged higher as it has confirmed it will take a further £3.1bn provisions to pay off a looming penalty in the US for its sale of residential mortgage-backed securities in the run up to the financial crisis. RBS said on Thursday that it has set aside a total of £6.7bn, which would reduce its tangible net asset value per share at 30 September 2016 by 27p to 311p.

Anglo American ticked up after it said production was higher in the fourth quarter, although copper output declined.

Diageo was in the black as it reported a 28% jump in first-half operating profit.

Costa Coffee and Premier Inn owner Whitbread slumped despite reporting that third quarter revenue rose and that it will meet full year expectations, as it remains on track with its three point plan to grow and innovate its UK businesses.

Venture capital company 3i Group was on the back foot despite describing a “robust performance” from its portfolio companies in the third quarer, and continued investment momentum.

Unilever was in the red after it posted lower-than-expected sales for the fourth-quarter.

Software company Sage fell after it said trading in the first quarter has been in line with its expectations and it is confident of achieving guidance of at least 6% organic revenue growth for the year, as it announced the possible sale of its US payments business.

Spreadbetting company CMC Markets tumbled after it said activity in the third quarter had improved somewhat from the second, but cautioned over uncertainty from a regulatory clampdown on spreadbetting.

Market Movers

FTSE 100 (UKX) 7,172.51 0.11%
FTSE 250 (MCX) 18,175.74 0.23%
techMARK (TASX) 3,242.75 0.20%

FTSE 100 - Risers

Ashtead Group (AHT) 1,656.00p 3.89%
Diageo (DGE) 2,216.00p 3.50%
St James's Place (STJ) 1,125.00p 2.93%
Standard Life (SL.) 354.20p 1.32%
RSA Insurance Group (RSA) 583.50p 1.21%
Hargreaves Lansdown (HL.) 1,347.00p 1.20%
Barclays (BARC) 233.50p 1.15%
Convatec Group (CTEC) 241.50p 1.09%
Anglo American (AAL) 1,376.00p 1.07%
Lloyds Banking Group (LLOY) 66.22p 1.04%

FTSE 100 - Fallers

Whitbread (WTB) 3,830.00p -5.64%
Unilever (ULVR) 3,206.00p -4.26%
Associated British Foods (ABF) 2,363.00p -4.06%
Sage Group (SGE) 621.50p -1.89%
3i Group (III) 685.00p -1.30%
Schroders (SDR) 2,970.00p -1.20%
Reckitt Benckiser Group (RB.) 6,747.00p -0.95%
Admiral Group (ADM) 1,776.00p -0.95%
Dixons Carphone (DC.) 314.70p -0.91%
Next (NXT) 3,823.00p -0.86%

FTSE 250 - Risers

IMI (IMI) 1,178.00p 4.71%
Card Factory (CARD) 251.50p 3.07%
Weir Group (WEIR) 2,060.00p 2.28%
St. Modwen Properties (SMP) 319.00p 2.28%
Evraz (EVR) 233.40p 2.19%
Nostrum Oil & Gas (NOG) 479.70p 2.15%
NMC Health (NMC) 1,665.00p 2.15%
SEGRO (SGRO) 465.50p 1.88%
Paysafe Group (PAYS) 381.90p 1.87%
PayPoint (PAY) 960.00p 1.69%

FTSE 250 - Fallers

CMC Markets (CMCX) 102.40p -10.18%
Rank Group (RNK) 181.70p -5.81%
Polymetal International (POLY) 898.50p -3.75%
Halfords Group (HFD) 366.70p -2.99%
Hochschild Mining (HOC) 232.60p -2.56%
Essentra (ESNT) 408.80p -2.20%
Ladbrokes Coral Group (LCL) 121.90p -1.30%
GCP Infrastructure Investments Ltd (GCP) 123.00p -1.13%
Vedanta Resources (VED) 1,057.00p -1.03%
Diploma (DPLM) 1,010.00p -0.88%