RAMSEY CROOKALL & CO

EVENING REPORT

10 AUGUST 2010

The news hit miners hardest, with Vedanta, Xstrata and Kazakhmys leading the mining sector lower.

Closer to home, TUI Travel warned profits this year will be at the low end of forecasts after UK bookings faltered.

The worries hit shares in InterContinental Hotels even though it said the hotel trade is recovering from the effects of the recession. The Holiday Inn owner also reported a better than expected 22% rise in operating profit to $219m in the six months ended 30 June.

International Power have drifted after it finally unveiled the merger with parts of French electricity giant GDF Suez Energy International. The proposed combination will be effected through a reverse takeover of some of GDF's businesses leaving IPR shareholders with a 30% stake.

Technology firm Smiths Group is the brightest stock among those blue-chips on the rise. The company is a perennial favourite among those looking for the next big takeover target and today UBS has suggested that the company might beat predators to the punch and break itself up.

Cairn Energy is higher on hopes the oil explorer will find something special from its planned drilling activity in Greenland.

Housebuilders are under pressure after the latest survey from trade body RICS showed surveyors are seeing house prices fall for the first time since July 2009. Few buyers and a rush of new properties onto the market are blamed. Persimmon, Tayor Wimpey, Bellway and Bovis are all under pressure.

The UK's biggest car dealer Pendragon almost tripled interim pre-tax profit as demand at its aftersales and used car operations steps up a gear.

THE FTSE CLOSED DOWN 34 @ 5376

THE DOW JONES AT 4.30PM IS DOWN 82 @ 10,616

THE NASDAQ COMP AT 4.30PM IS DOWN 33 @ 2272

Exchange Rates

GBP – USD 1. 577

GBP – EUR 1. 204