RAMSEY CROOKALL

22 August 2011

Evening Report

The FTSE 100 closed  up 1.1%, well off earlier highs, in line with US stocks. Energy-related shares provided most of the upside as investors eyed the end of the crisis in Libya. Cairn Energy closed up 3% and Royal Dutch Shell up 2.4%. But banks were on the back foot, with RBS down 5.3% and Barclays down 2.8%, as worries about European sovereign debt and global growth persist.

A surging gold price, which stands just below the $1,900 level drove FTSE 100 miner Randgold Resources on to the FTSE 100  leaders list, the stock closed up 2.94%.

Oilfield services group Petrofac said it is on course to deliver like-for-like profit growth of at least 15% in 2011, in line with current market expectations.  Petrofac closed up 3.9%.

Essar Energy, the India-focused integrated energy company, edged higher after it saw revenues soar by more than a third over the first half of 2011, primarily due to higher refining and marketing revenues, which offset lower power revenues.

Pharmaceuticals giant GlaxoSmithKline was firmer after announcing that it is to buy up over a quarter of UK-based biotech firm Autifony Therapeutics through its wholly-owned subsidiary, Glaxo Group.

Mining giant BHP Billiton closed higher after it said that all conditions relating to its tender offer for Petrohawk Energy have been satisfied.

THE FTSE 100 closed                      Up            54        @       5095

THE DOW JONES at 16:45                   Up            27        @       10844                       NASDAQ COM at 16:45                      Up            9         @       2351                                Commodities

Spot Gold $/Oz           $1891 Brent Crude Oil          $107.10 September Delivery    Exchange Rates GBP – USD           1.6447 GBP - EURO         1.1439