Encouraging results from US technology bigwigs Intel and Texas Instruments cheered the UK market ...
Encouraging results from US technology bigwigs Intel and Texas Instruments cheered the UK market giving investors further evidence the dust might be settling in global markets.
At midday the FTSE 100 improved 82.7 points to 5843.8, its highest level for well over a month.
Yesterday US computer chip manufacturer Intel released encouraging results. Investors latched onto news that revenue is stabilising and should improve in the second half. The economic slowdown was blamed for an 82% tumble in first quarter earnings. Texas Instruments compounded the optimism as it too released better than expected first quarter results.
The UK provided its own dose of new economy cheer yesterday after software group Misys declared the outlook for the full year is in line with expectations. It also said a progressive return to its long-term growth rate during the current financial year is on the cards.
The FTSE 100 was led by a raft of technology stocks. Sage came out on top, up 26.75p to 252.75p followed by Dimension Data, up 28.5p to 287.5p. Fund manager AMVESCAP was the best non technology performer, up 112p to 1197p.
Technology, media, telecom and financial stocks were in fine form at the midday stage. Predictably, old economy stalwarts took the brunt of the shift to the new economy and the FTSE 100 fallers were headed by BAE Systems, down 10.25p to 343.75p. But most losses were limited to around 1%.
Elsewhere tiddler stock Golden Land was the day's biggest loser. The property management group lost almost a half its value on news that its key shareholder, Wisearm Group, is selling its 74.6% stake. This leaves Golden Land vulnerable to offers at a substantial discount. The stock slumped 2.5p to 2.75p.
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