RAMSEY CROOKALL & CO

MIDDAY REPORT 7 MARCH 2011

London has made a slow start with concerns over the Middle East and North Africa adding to some mixed trading updates.

Light crude rose to a 30-month high above $106 on Monday as civil war rages in Libya while reports that the unrest may have reached Saudi Arabia further added to the oil market's frayed nerves.

Petrofac fell even though the oil fabrications giant reported only a ‘minimal impact’ so far from the unrest, but it adds it continues to monitor the situation closely.

Reports over the weekend that BSkyB's shareholders want a much higher offer from News Corp have lifted the satellite broadcaster, while the LSE is mulling Nasdaq as a takeover target after it concludes its merger with Toroto SE according to another story.

Elsewhere, Burberry is going well after Verdict suggested that the top end of the clothing retail market will grow by nearly 30%, to £8.6bn, by 2014.

Stagecoach blames “unusually severe” weather conditions in December for a slowdown at its UK bus business, but its trains remain on track and revenue is up in North America. Like for like revenue grew 1.9% at UK Bus in the 40 weeks to 6 February, down from 2.3% for the six months to 31 October.

Mining giant Xstrata has moved quickly to snap up the outgoing Vodafone chairman Sir John Bond as its new chairman of the board. Sir John will replace Willy Strothotte, who is to retire after the AGM on 4 May.

Finally, UK oil and gas titan BG Group has signed a 20-year deal to provide 1.2m tonnes of liquefied natural gas a year to Tokyo Gas, Japan’s largest city gas supplier.

THE FTSE 100 AT NOON IS UP 45 @ 6036

THE DOW JONES CLOSED DOWN 88 @ 12,169

THE NASDAQ COMP CLOSED DOWN 14 @ 2784

Exchange Rates

GBP – USD 1.6267 GBP - EURO 1.1630