RAMSEY CROOKALL & CO

10th May 2011 Evening Report

The FTSE 100 closed up 1.2%, maintaining gains after data showing that the price of goods imported to the US rose 2.2% in April, against expectations for a 1.7% increase. In terms of sectors, mining stocks continued their advance as base metals prices continued to recover. Imperial Tobacco closed posting good gains. The company behind cigarette brands such as Davidoff and Gauloises and Golden Virginia tobacco posted earnings growth ahead of expectations in the half year to 31 March as growth in emerging markets drove sales higher.

The heaviest faller of the day was oil and gas group BG, after it became the latest to report the impact of higher taxes on North Sea oil production, saying they have reduced its first quarter earnings by $265m (£162m) and will impact production over the full year. Pace fell sharply after the set-top box maker lowered its full-year profits guidance. The shares are down more than 40% after it said the board now expects operating profit to be in the range of $150m to $170m (£97m - £110m) after the group battled against a number of factors which affected profitability and margins in the first quarter. Intercontinental Hotels said it is confident for the full year after strong growth in the US. Pre-tax profits before exceptional items at the Holiday Inns owner climbed to $96m from $68m on revenues that were up to $396m from $362m.

THE FTSE 100 closed          Up 76 @ 6018

THE DOW JONES at 4:55 Up 51 @   12736

THE NASDAQ COMP at 4:55 Up 12 @     2856

Exchange Rates

GBP – USD           1.6338 GBP - EURO          1.1372