London open: Stocks nudge up; Ocado and Melrose under the cosh

London stocks nudged higher in early trade on Tuesday following a mixed close on Wall Street, as investors eyed the release of a key US inflation reading and UK GDP data later in the week.

At 0850 BST, the FTSE 100 was up 0.1% at 8,288.22.

Market participants were turning their attention to US personal consumption expenditure data for May, which is due on Friday. In the UK, meanwhile, first-quarter GDP figures will be published.

In equity markets, Admiral was the standout gainer on the FTSE 100 after an upgrade to ‘buy’ from ‘hold’ at Berenberg. It said the valuation is attractive and there is scope for further EPS upgrades.

"Investor Warren Buffett once said: ‘It is far better to buy a wonderful company at a fair price than a fair company at a wonderful price.’ Fortunately, today investors can buy Admiral, a wonderful company, also at a wonderful price," Berenberg said in a research note.

Saga gained as the over-50s holidays and financial products firm said it remains on track to hit targets after an in-line start to its financial year, despite ongoing challenges in the insurance market.

Real estate group Landsec rose after saying it raised its stake in Kent’s Bluewater Shopping Centre to 66.25% following a further £120m investment.

On the downside, Melrose Industries slumped after Airbus cut earnings guidance and delivery targets. Rolls-Royce also took a hit.

Ocado was under pressure after Morgan Stanley cut its price target on the shares to 215p from 345p.

Market Movers

FTSE 100 (UKX) 8,288.22 0.08%
FTSE 250 (MCX) 20,505.85 -0.28%
techMARK (TASX) 4,818.57 -0.01%

FTSE 100 - Risers

Admiral Group (ADM) 2,622.00p 2.06%
Smurfit Kappa Group (CDI) (SKG) 3,682.00p 1.71%
Centrica (CNA) 139.15p 1.42%
National Grid (NG.) 899.80p 1.24%
Flutter Entertainment (DI) (FLTR) 14,775.00p 1.20%
Rio Tinto (RIO) 5,288.00p 1.15%
Shell (SHEL) 2,824.00p 1.06%
BP (BP.) 478.55p 0.93%
Land Securities Group (LAND) 635.00p 0.87%
Frasers Group (FRAS) 910.50p 0.77%

FTSE 100 - Fallers

Melrose Industries (MRO) 555.20p -4.54%
Rolls-Royce Holdings (RR.) 452.70p -3.95%
Intermediate Capital Group (ICG) 2,216.00p -1.77%
Ashtead Group (AHT) 5,410.00p -1.53%
Halma (HLMA) 2,665.00p -1.37%
Weir Group (WEIR) 2,022.00p -1.27%
CRH (CDI) (CRH) 5,800.00p -1.26%
Scottish Mortgage Inv Trust (SMT) 875.40p -1.24%
Smiths Group (SMIN) 1,704.00p -1.22%
BAE Systems (BA.) 1,337.50p -1.11%

FTSE 250 - Risers

W.A.G Payment Solutions (WPS) 65.60p 2.82%
Supermarket Income Reit (SUPR) 74.40p 2.34%
Volution Group (FAN) 460.00p 2.00%
Essentra (ESNT) 168.20p 1.33%
Centamin (DI) (CEY) 118.90p 1.11%
Diversified Energy Company (DEC) 1,086.00p 1.02%
Bank of Georgia Group (BGEO) 4,120.00p 0.98%
JPMorgan Japanese Inv Trust (JFJ) 526.00p 0.96%
Witan Inv Trust (WTAN) 264.00p 0.96%
Pennon Group (PNN) 611.00p 0.91%

FTSE 250 - Fallers

Ocado Group (OCDO) 298.40p -4.51%
Me Group International (MEGP) 167.00p -3.47%
Target Healthcare Reit Ltd (THRL) 78.10p -3.10%
Bytes Technology Group (BYIT) 543.50p -2.77%
Bodycote (BOY) 711.00p -2.74%
OSB Group (OSB) 442.20p -2.38%
Auction Technology Group (ATG) 557.00p -2.28%
Bellevue Healthcare Trust (Red) (BBH) 141.40p -1.81%
Indivior (INDV) 1,274.00p -1.70%
WH Smith (SMWH) 1,171.00p -1.68%