London midday: Early gains wiped out on Greek uncertainty

18th May 2015 11:54

UK stock markets had erased gains and were trading flat by Monday lunchtime with financial shares providing a drag on concerns about Greece.The FTSE 100 was down 0.08% at 6,955.17 by midday, pulling back after reaching a high of 7,015.49 early on.Financials were trading lower with banking group Lloyds dropping after a broker downgrade. Mining stocks were mostly higher, with the exception of sector heavyweight BHP Billiton."The initial excitement this Monday morning, which saw the FTSE surge above 7,000, has disappeared with the markets settling into a rather sluggish pace as the day goes on," said Spreadex analyst Connor Campbell.With economic data thin on the ground on Monday - the NAHB US housing market index at 15:00 is the only major release - investors were focusing on uncertainty in Greece.A government spokesman said Greece will be able to pay wages and pensions in May but needs a deal with its lenders by the end of the month "so we can resolve our liquidity issues".However, Gabriel Sakellaridis told a news conference that Athens was sticking to "red lines" in its continued cash-for-reforms negotiations with creditors.Aveva and Bwin surgeEngineering software group Aveva was making decent gains early on after weekend reports that it could be an acquisition target of Schneider Electric, General Electric and Emerson Electric.Meanwhile, online gaming group Bwin.Party Digital Entertainment jumped after confirming it has received a cash and shares bid from sector peer 888 Holdings.Mining stocks were mostly higher, including Randgold Resources, Fresnillo, Anglo American, Rio Tinto and Glencore.Fresnillo said it remains on track to hit its output guidance in 2015 after a strong start to the year, while Rio was making headlines on rumours it could raise $1bn from the sale of some aluminium assets.However, BHP Billiton was trading with heavy losses after its South32 spin-off was valued at the lower end of market expectations on its debut on the Australian Stock Exchange.Lloyds fell after being hit with a downgrade by Investec to 'sell' after the stock recently reached a 6.5-year high. The broker said that the share price is now more than up with events.Other financials were in the red, including Aviva, St James's Place, London Stock Exchange, Schroders and Aberdeen.Babcock gained after posting a 47% rise in pre-tax profit for the year ended March 31st to £313.1m on revenues up 37% at £4.5bn.Shares in industrial engineer Weir Group were advancing after analysts at Citigroup lifted their rating on the stock from 'neutral' to 'buy' and hiked their target price from 1,750p to 2,200p. Market MoverstechMARK 3,235.89 -0.09%FTSE 100 6,955.17 -0.08%FTSE 250 17,998.78 -0.12%FTSE 100 - RisersFresnillo (FRES) 779.00p +3.59%Royal Mail (RMG) 498.90p +2.78%Sage Group (SGE) 557.50p +2.48%Babcock International Group (BAB) 1,103.00p +2.04%Weir Group (WEIR) 1,934.00p +1.90%Marks & Spencer Group (MKS) 578.50p +1.85%Glencore (GLEN) 298.30p +1.70%Randgold Resources Ltd. (RRS) 4,947.00p +1.62%Antofagasta (ANTO) 798.50p +1.20%Centrica (CNA) 284.00p +1.07%FTSE 100 - FallersBHP Billiton (BLT) 1,472.00p -3.98%Hikma Pharmaceuticals (HIK) 2,033.00p -3.24%Aviva (AV.) 533.50p -1.66%St James's Place (STJ) 931.50p -1.32%Lloyds Banking Group (LLOY) 87.97p -1.16%Imperial Tobacco Group (IMT) 3,202.00p -1.11%London Stock Exchange Group (LSE) 2,438.00p -0.97%Compass Group (CPG) 1,136.00p -0.96%Shire Plc (SHP) 5,340.00p -0.84%Associated British Foods (ABF) 2,886.00p -0.79%FTSE 250 - RisersBwin.party Digital Entertainment (BPTY) 109.40p +10.01%Aveva Group (AVV) 1,996.00p +8.77%Kier Group (KIE) 1,387.00p +4.75%AL Noor Hospitals Group (ANH) 879.50p +4.33%Mitie Group (MTO) 296.90p +3.20%Wood Group (John) (WG.) 714.00p +2.44%Bovis Homes Group (BVS) 1,066.00p +1.91%Polymetal International (POLY) 562.00p +1.81%Tullow Oil (TLW) 424.20p +1.75%Centamin (DI) (CEY) 67.00p +1.75%FTSE 250 - FallersThomas Cook Group (TCG) 155.00p -3.91%Inmarsat (ISAT) 965.50p -3.01%Fidessa Group (FDSA) 2,266.00p -3.00%Cranswick (CWK) 1,546.00p -2.64%Laird (LRD) 369.80p -2.43%SIG (SHI) 199.80p -2.30%Diploma (DPLM) 792.00p -2.28%Go-Ahead Group (GOG) 2,606.00p -2.25%Henderson Group (HGG) 273.20p -2.15%Premier Oil (PMO) 173.40p -2.14%