RAMSEY CROOKALL & CO

9th August 2012

Evening Report

The FTSE 100 ends just 0.1% higher at 5851.51, helped into positive territory by some well-received U.S. data. The trade deficit in June came in at $42.9 billion from $48.0 billion in May. The gap narrowed more than expected, as economists surveyed by Dow Jones Newswires had forecast a $47.6 billion deficit in June.

The number of U.S. workers filing applications for jobless benefits falls slightly in the week ended Aug. 4, suggesting the labor market is stabilizing. Claims dip 6,000 to 361,000, less than the 370,000 economists had been expecting.

J.P. Morgan Chase admits to a 'material weakness' in the bank's internal controls in filing its restated first-quarter results, which include a loss from ill-placed investment hedges. Profit is restated $459 million lower, to $4.92 billion.

Under-fire bank Standard Chartered was a high riser as it continues to rebound from its 16 per cent drop on Tuesday on the back of alleged dealings with the Iranian government.

Gold miner Randgold Resources jumped after seeing profits surge in the first half of 2012 on the back of a record performance from its flagship Loulo-Gounkoto complex in Mali. Mining peers Glencore, Antofagasta and Xstrata were also higher on hopes that additional stimulus in China will boost the demand for commodities.

Heading the other way was engineering and consultancy group AMEC despite saying it is on track for double-digit underlying revenue growth this year as sales jumped by over a third in the first half. The firm did not that its EBITDA margin slipped in the first half, and while it is expected to improve in the second half, it will be lower than the previous year.

Struggling insurance giant Aviva edged lower after reporting a 10% fall in half-year operating profits as foreign exchange fluctuations and restructuring costs hit the bottom line.

Shares in online grocery group Ocado took a hit this morning after UBS downgraded the stock from 'neutral' to 'sell', saying that consensus estimates are too bullish for next year and there is evidence of demand growth slowing.

THE FTSE 100             closed            Up         5        @      5,851 THE DOW JONES            @ 17:00           Down      42        @     13133 THE NASDAQ               @ 17:00           Up         2        @      3013 Exchange Rates GBP – USD        @      17:00              1.5621 GBP - EURO      @      17:00              1.2723