London close: US jobs data sends FTSE 100 to seven-week high

3rd May 2013 16:31

The FTSE 100 jumped one per cent higher to a seven-week high on Friday afternoon with stock markets rejoicing as the US jobs report smashed forecasts in April and previous months' data was revised higher.London's benchmark index closed up 61 points (+0.94%) to close at 6,521, a level not seen since mid-March. The figures meanwhile sparked US markets to reach new milestones after the opening bell on Wall Street, with the Dow Jones breaching 15,000 and the S&P 500 topping 1,600 for the first time. US non-farm payrolls increased by 165,000 last month, well ahead of the 140,000 increase expected, while March's measly 88,000 gain was revised up to 138,000. February's figure was also revised higher from 268,000 to 332,000.The unemployment rate inched lower to 7.5%, surprising those who had expected it to stay at 7.6%."Wow. Not only was the April figure better than expected, but March came back from the dead and February went through the roof," said Marcus Bullus, Trading Director at MB Capital. "The US economy has just plucked victory from the jaws of defeat, and comprehensively so. This latest jobs data will erase any fears that arose from last week's weaker than expected GDP data. It's game on for the US all over again," he said.Also helping to support stocks this morning was the UK services purchasing managers' index which rose unexpectedly from 52.4 to 52.9. Analysts were expecting a flat reading.FTSE 100: ENRC leads miners higher; RBS dropsMining stocks were making decent gains today as the demand outlook improved on the back of the US data. ENRC was the standout performer, up over 11.5% after reports that Russian billionaire Suleiman Kerimov has increased his stake ahead of a possible bid from three of the miner's founding shareholders. Antofagasta, EVRAZ, Rio Tinto and Polymetal were in demand, while newly-merged commodities trader and mining giant Glencore Xstrata was also sharply higher on its first day of trading.Heading the other way was RBS after its first-quarter results. 'Clean' profit before tax, which excludes one-off costs, came in at £829m in the three months to the end of March, up from £553m recorded in the fourth quarter but well below the consensus estimate of £1,200m. Sector peer Lloyds fell in sympathy.Drugmaker Shire was extending losses after missing sales forecasts with its first-quarter figures yesterday. UBS cut its target price for the stock today from 2,400p to 2,300p but kept its' buy' rating.FTSE 250: Man Group jumps despite "disappointing" flowsInvestment management firm Man Group jumped this morning despite saying that flows in the first quarter were "disappointing". Nevertheless, the company said that 2013 earnings per share would be helped after a change in its regulatory status boosted surplus regulatory capital, allowing it to call/redeem certain debt securities.Electra Private Equity rose after saying it has received a binding offer from funds advised by BC Partners for Allflex Holdings, its largest investment. The offer, which values Afflex at over $1.3bn, would result in gross proceeds to Electra of $398m.FTSE 100 - RisersEurasian Natural Resources Corp. (ENRC) 292.70p +11.55%Antofagasta (ANTO) 983.00p +7.73%IMI (IMI) 1,282.00p +5.08%Wood Group (John) (WG.) 804.50p +4.96%Evraz (EVR) 155.60p +4.57%Burberry Group (BRBY) 1,378.00p +4.47%Anglo American (AAL) 1,635.50p +4.30%Polymetal International (POLY) 733.50p +4.19%Rio Tinto (RIO) 3,022.50p +4.04%Weir Group (WEIR) 2,203.00p +4.01%FTSE 100 - FallersRoyal Bank of Scotland Group (RBS) 289.80p -5.69%Aggreko (AGK) 1,723.00p -1.54%BT Group (BT.A) 275.00p -1.47%Reckitt Benckiser Group (RB.) 4,636.00p -0.88%Shire Plc (SHP) 1,870.00p -0.80%RSA Insurance Group (RSA) 110.80p -0.72%Babcock International Group (BAB) 1,072.00p -0.65%GlaxoSmithKline (GSK) 1,648.00p -0.54%Imperial Tobacco Group (IMT) 2,358.00p -0.51%Lloyds Banking Group (LLOY) 54.05p -0.39%FTSE 250 - RisersMan Group (EMG) 120.00p +12.89%Kazakhmys (KAZ) 372.50p +11.83%Henderson Group (HGG) 177.10p +6.94%Lonmin (LMI) 286.30p +6.71%Kenmare Resources (KMR) 27.84p +6.54%Ferrexpo (FXPO) 178.10p +6.20%Ladbrokes (LAD) 198.80p +5.24%Petropavlovsk (POG) 148.90p +4.64%Salamander Energy (SMDR) 192.20p +4.46%888 Holdings (888) 177.50p +4.11%FTSE 250 - FallersAfrican Barrick Gold (ABG) 152.80p -5.91%Laird (LRD) 207.00p -4.26%Home Retail Group (HOME) 139.90p -2.98%Telecity Group (TCY) 945.50p -2.48%New World Resources A Shares (NWR) 150.00p -2.41%Anite (AIE) 122.50p -2.39%Elementis (ELM) 247.20p -2.22%PZ Cussons (PZC) 391.70p -1.31%Alent (ALNT) 325.00p -1.22%Direct Line Insurance Group (DLG) 201.60p -1.08%BC