FTSE 100 movers: 'Neutral' Burberry heading lower

3rd Oct 2011 14:07

Shares were down at Burberry after Nomura maintained its neutral rating on the British luxury brand ahead of the group's first half trading update on 12 October.The broker expects Burberry to report 29% constant currency sales growth to £820m, but forecasts a 50 basis point decline in the first half earnings before interest and tax margin in the key retail/wholesale division, due to operating costs (including investment in flagships, customer services and share schemes).Meanwhile, worries over a slow-down in economic growth in China continue to provide pressure on the stock. Although the latest Chinese PMI data has come in relatively better than expected, market chatter continues to centre on downside risks to the country's economic outlook. Rising gold prices sent Randgold Resources on the up, and despite the group falling into the red the share price outperformed the relative FTSE 100 index, registering losses of just 0.4%. Banking peers Standard Chartered, RBS and Barclays fell lower, as they continue to be pressured by Greek-related worries, as reports suggest that the country will fall short of its budget deficit targets for this year and the next.FTSE 100 - RisersRandgold Resources Ltd. (RRS) 6,450.00p +2.54%Marks & Spencer Group (MKS) 318.20p +1.14%Fresnillo (FRES) 1,603.00p +1.07%Sainsbury (J) (SBRY) 275.80p +0.36%Tate & Lyle (TATE) 628.00p +0.32%Vodafone Group (VOD) 166.50p +0.15%United Utilities Group (UU.) 624.50p +0.08%FTSE 100 - FallersStandard Chartered (STAN) 1,210.50p -5.94%Vedanta Resources (VED) 1,036.00p -5.90%Burberry Group (BRBY) 1,110.00p -5.45%Xstrata (XTA) 776.60p -5.38%Royal Bank of Scotland Group (RBS) 22.26p -5.24%GKN (GKN) 167.00p -5.06%Aviva (AV.) 290.00p -5.04%Smiths Group (SMIN) 953.00p -4.65%Barclays (BARC) 153.90p -4.62%Wolseley (WOS) 1,534.00p -4.54%NR