RAMSEY CROOKALL

1st July Evening Report

European stocks accelerated gains late in the session today, catching a tailwind after a gauge of U.S. manufacturing came in much stronger than economists had expected. The FTSE 100 closed up 0.7% off session highs.

Among the movers in London, shares of Vodafone Group PLC dropped 0.3% after the mobile network operator said it will sell its entire 24.4% stake in Polish telecom operator Polkomtel for 920 million euros.

Energy regulator Ofgem slapped a £1m penalty on British Gas, a unit of Centrica, for misreporting the amount of electricity supplied under the government’s renewables obligation. BG, however, closed up 1%.

 Capita Group, a business process outsourcing solutions and professional support services group announced today that it has acquired Ventura, a customer contact specialist for a cash consideration of GBP65 million on a cash-free, debt-free basis.

Astra-Zeneca, the FTSE-100 pharmaceuticals firm, has won approval to sell its drug Nexium in Japan. The drug helps in the treatment of acid related conditions, including peptic ulcer disease.

Budget airlines operator Flybe Group rose 4% after saying that, along with its newly formed joint venture partner Finnair, it will acquire Finnish Commuter Airlines for €25m (£22.5m). THE FTSE 100  closed                              Up               44            @      5989 THE DOW JONES at 4:45                             Up              118           @    12533 THE NASDAQ COMP at 4.45 Up 26 @ 2799

Exchange Rates GBP – USD           1.6063 GBP - EURO          1.1069