RAMSEY CROOKALL & CO MIDDAY REPORT

7 JULY 2010 A cautious update from Marks & Spencer and weak banking shares are weighing on the market in midmorning trade.

The High Street bellwether reported a 3.6% rise in UK like for like sales in the first quarter but is cautious about the outlook for consumer confidence and spending. Like for like sales in general merchandise, which includes clothing, were up 6.0% with like for like sales growth in food of 1.5%.

Banks have joined the fray, falling ahead of news on Europe-wide bank stress tests, expected today. HSBC are struggling, down 18p at 597p.

Anglo-Swiss mining titan Xstrata has approved a $1.47 billion investment to develop the Antapaccay copper project, located around 10 kilometres from the Tintaya open pit mine which is expected to be exhausted in 2012.

Shares in BP continue to rise 14p to 360p on talk of Middle East investment and possible capping of the leaking Gulf of Mexico well.

Tullow Oil can proceed with the $1.5 billion acquisition of a 50% stake in two oil fields in Uganda from Heritage Oil. Tullow exercised its first refusal rights over blocks 1and 3A in the Albert Basin in Uganda after Heritage agreed to sell the stakes to Eni of Italy.

Aquarius Platinum is down 18p to 296p after five people died yesterday at its Marikana platinum mine when a shaft collapsed.

Storage firm Big Yellow Group enjoyed a ‘robust’ quarter with a particularly ‘strong’ June, Annualised store revenue rose 9% to ?59.8 million at 30 June 2010. Total store revenue was ?14.4 million for the quarter, up 10% from the same quarter last year.

THE FTSE 100 AT 12.30 IS DOWN 27 @ 4937

THE DOW JONES CLOSED UP 57 @ 9743

THE NASDAQ COMP CLOSED UP 2 @ 2093

Exchange Rates

GBP – USD 1. 514

GBP – EUR 1. 202