RAMSEY CROOKALL & CO

6th May 2011

Evening Report

The FTSE 100 closed up 1% at 5976, pushing higher in response to US nonfarm payrolls data after spending the earlier part of the session in negative territory. The Mining sector also bounced back as copper prices start to rise again. Royal Bank of Scotland led the index higher, up 5.6%, as investors respond positively to the lender's 1Q earning. RBS made an underlying first quarter operating profit of £1.05bn, up from £882m the year before. Total income declined to £7.55bn from £8.21bn the year before, as market conditions were not so favorable this time round for the group's investment banking arm, Global Banking and Markets.

Car insurer Admiral has seen strong growth so far this year, although things are tougher at their website business Confused.com. Turnover was up by 56% in the first quarter compared with the same period last year at £539m, Admiral said in a trading statement covering 1 January to 5 May.

Rio Tinto closed higher after again pushing back the deadline for its takeover offer for Africa-focused coal miner Riversdale Mining, giving minority shareholders more time to jump on board before the target is delisted from the Australian Stock Exchange.

IMI, the engineering firm, saw shares fall despite announcing that results will be “well ahead” of last year. Also announced was the appointment of Roberto Quarta, currently chairman of Rexel SA, who is to take over as chairman of IMI next month.

THE FTSE 100 closed         Up 56 @ 5976

THE DOW JONES at 4:45 Up 153 @    12737

THE NASDAQ COMP at 4:45 Up 40 @     2855

Exchange Rates

GBP – USD           1.6414 GBP - EURO         1.1320