RAMSEY CROOKALL & CO MIDDAY REPORT 24 JUNE 2010

UK stocks have opened lower as raw-material companies decline amid concern that a change in leadership of the Australian government may delay an agreement on a proposed profit tax for mining companies.

Shares in BHP Billiton are down 28p to ?19.23. Julia Gillard, the new Australian prime minister, said the new government prefers consultation and negotiation on the proposed Super Profits Tax. Rio Tinto, BHP and Xstrata have led a campaign since last month against the proposed 40% tax, prompting a plunge in former Prime Minister Rudd’s support in opinion polls and stalling investment in projects worth at least $21 billion.

Train, bus and parking firm Go Ahead said it remains confident of meeting expectations for the current year despite a difficult period for the travel industry. However, it remains cautious on the near term prospects.

Dana Petroleum sinks 8% lower after a mixed set of drilling results. It has made two new discoveries in Egypt, but the shares have fallen as it reported disappointing results in two other locations.



THE FTSE 100 AT 12.25 IS DOWN 39 @ 5139

THE DOW JONES CLOSED UP 4 @ 10,298

THE NASDAQ COMP CLOSED DOWN 7 @ 2254

Exchange Rates

GBP – USD 1. 497

GBP – EUR 1. 218