RAMSEY CROOKALL & CO April 26th 2012

Evening Report

The FTSE 100 closed 0.5% higher at 5748 in a fairly volatile session. The focus tomorrow will be on the release of US 1Q GDP data announced at 12:30.

Whitbread, the FTSE 100 coffee shops, restaurants and hotels operator, was on a caffeine high after it topped expectations with full-year profits and sales, with the Costa Coffee chain once again driving growth. The good news also prompted Peel Hunt to reiterate its buy recommendation for the stock, further boost investor sentiment.

Oil and gas titan Royal Dutch Shell was another stock in demand after its upstream activities drove a bigger-than-expected increase in the Anglo-Dutch group's first quarter earnings.

Consumer goods giant Unilever also rose after saying it had a good start to the year and was on track to hit its full year targets, with turnover increasing by 11.9% in the first quarter.

Pharmaceuticals giant AstraZeneca fell after first quarter revenues fell 11% year-on-year, missing consensus estimates by eight per cent. While core earnings per share came in above forecasts, the group lowered its full-year guidance range by 2.4% at the mid-point. The firm also announced that Chief Executive David Brennan would retire in June. The announcement came out of the blue and speculation in the City is that Brennan is paying the price for the Anglo-Swedish firm's disappointing performance on his watch.

Car insurer Admiral fell after saying that UK policy growth was at the lower-end of targets. Nevertheless, first quarter group turnover rose nine per cent to £586m from £539m in the first quarter of last year.

Speciality chemicals manufacturer Croda International was also out of favour despite saying it has achieved record results in the first quarter of 2012. Rising raw materials prices, necessitating price rises of Croda products, have set investors' nerves a-jangling.

THE FTSE 100             closed           Up        29      @      5,748 THE DOW JONES            @  17:00         Up        57      @     13148 THE NASDAQ               @ 17:00          Up        6      @      3035

Exchange Rates

GBP – USD       @      17:00               1.6187 GBP - EURO     @      17:00               1.2233