RAMSEY CROOKALL

27th   July

Morning Report

The FTSE 100 is down 0.25%, extending earlier losses, as the index largely tracks continental indexes lower. European investors are spooked by the possibility the US may default on its debt by Aug. 2 and following comments made by German Finance Minister Schaeuble. On the data front today, US durable goods figures are announced before the US open.

Energy supplier Scottish & Southern Energy was the heavy faller, tumbling 4.85%, on the same day that utilities firm British Gas (owned by Centrica) received a £2.5m fine for mishandling customer complaints. Centrica also fell lower, albeit by a lesser extent (-1.2%).

The miners were in demand as gold and silver futures head higher. Lonmin, Fresnillo and Randgold Resources are among the highest risers.

BG Group is higher, extending gains after Tuesday's results, while BP also also firmed, attempting to recover after yesterday's sell-off.

Terrestrial broadcaster ITV fell lower after warnings that the outlook for the TV advertising market remains uncertain, despite earnings and revenue beating estimates in the first half.

Interim figures from cigarettes maker British American Tobacco underwhelmed as shares fell lower, despite numbers coming in slightly ahead of expectations, as higher prices offset volume weakness.

THE FTSE 100 at 9:45               Down           17         @      5911

THE DOW JONES closed               Down           91         @       12501                            NASDAQ COMP closed                 Down            2         @       2839                                      Exchange Rates

GBP – USD           1.6420 GBP - EURO         1.1336