London midday: Stocks higher after China exports fall less than forecast

8th Sep 2015 11:54

(ShareCast News) - London stocks were sitting higher after a better-than-expected report on Chinese exports lifted sentiment.China's exports dropped 5.5% in August from a year earlier in dollar terms after a 8.3% drop in July, according to the General Administration of Customs, better than the 6.6% decline that was expected by analysts.However, Customs said China exports will continue to face "relatively big pressure" in the fourth quarter amid a slowing economy.Imports last month decreased 13.8% in August in dollar terms compared to a year ago, more than the 7.9% dip that was forecast, after a 8.1% fall in July.China's trade surplus widened in August to $60.2 billion from $43.03 billion in July, beating projections of $48bn.Capital Economics said trade was "healthier than headlines suggest", adding the figures would likely have been stronger in August had it not been for temporary disruptions to industrial activity following the Tianjin warehouse blast and factory closures ahead of last week's WWII Victory Day parade."Looking ahead, we think trade growth ought to recover over the coming quarters," said China economist Julian Evans-Pritchard. "The drag from the Tianjin blast and Victory parade disruptions ought to have mostly faded this month. Meanwhile, stronger growth in China's main trading partners ought to shore up exports while a pick-up in investment spending will boost imports."Tuesday dataMeanwhile, Eurozone economic growth for the second quarter was revised higher following an improvement in exports. Eurostat said gross domestic product increased 0.4% in the second quarter from the first, compared to an earlier estimate of 0.3%. The first quarter was also revised higher to 0.5% from a previous forecast of 0.4%. GDP was 1.5% higher in the second quarter than in the same period a year ago, up from a previous estimate of 1.2%.Germany's trade surplus narrowed to €22.8bn in July from €24.4bn a month earlier, slightly more than the €23.5bn expected by analysts, the Federal Statistical Office said. Exports rose 2.4% in July, compared to forecasts for a 1% gain and the previous month's 1.1% drop. Imports climbed 2.2% in July, smashing estimates for a 0.7% rise and better than June's 0.8% fall.Closer to home, British retail spending stagnated in August due to poor weather and the later-than-usual date of a public holiday. The British Retail Consortium said retail spending in August was 0.1% higher than a year earlier, the smallest rise since April and down from 2.2% growth in July.The US resumes trading after a break for Monday's Labor Day. US reports on small business optimism, labour market conditions and consumer credit will be released in the afternoon session.Among companies, Amlin surged after MS&AD Insurance Group Holdings said it was in talks to buy the group.Betfair rallied after the company and its rival Paddy Power agreed on a £5bn mergerUnited Utilities jumped amid reports that it could attract takeover interest due to its current valuation. Bernstein upgraded the stock to 'outperform', saying it is "an attractive acquisition target for a pension or infrastructure fund".Berkeley Group climbed after the homebuilder reiterated its earnings guidance as it continued to expand its operations in the current financial year.Hikma Pharmaceuticals was higher as it agreed to acquire almost the entire share capital of Egypt-based EIMC United Pharmaceuticals (EUP) from a consortium of shareholders for an undisclosed sum.RSA Insurance rose as it signed contracts to sell its operations in Latin America to Suramericana SA.Standard Chartered reversed Monday's decline amid the prospect of facing Iran-related fines, the reported axing of senior staff, and the impact of China's slowdown on their Asian business.Whitbread slumped as the owner of Costa coffee shops reported a slowdown in sales in the second quarter. Market MoverstechMARK 3,112.11 +1.22%FTSE 100 6,185.50 +1.83%FTSE 250 17,054.70 +1.26% FTSE 100 - RisersHargreaves Lansdown (HL.) 1,131.00p +3.86%Standard Chartered (STAN) 724.70p +3.32%United Utilities Group (UU.) 880.00p +3.29%Anglo American (AAL) 699.90p +3.28%HSBC Holdings (HSBA) 510.00p +3.24%Aberdeen Asset Management (ADN) 317.80p +3.15%BP (BP.) 345.00p +2.68%Schroders (SDR) 2,841.00p +2.67%BHP Billiton (BLT) 1,093.50p +2.63%Morrison (Wm) Supermarkets (MRW) 172.20p +2.62% FTSE 100 - FallersWhitbread (WTB) 4,565.00p -3.10%Sports Direct International (SPD) 779.50p -0.13% FTSE 250 - RisersAmlin (AML) 653.00p +32.59%Lancashire Holdings Limited (LRE) 692.00p +5.97%Aggreko (AGK) 1,092.00p +5.41%Beazley (BEZ) 343.10p +4.64%Ashmore Group (ASHM) 255.40p +4.33%Henderson Group (HGG) 253.00p +3.86%Serco Group (SRP) 108.50p +3.63%Tullett Prebon (TLPR) 388.00p +3.63%Ocado Group (OCDO) 332.80p +3.45%Man Group (EMG) 163.60p +3.41% FTSE 250 - FallersPetra Diamonds Ltd.(DI) (PDL) 113.00p -5.12%Aldermore Group (ALD) 289.30p -2.00%IP Group (IPO) 234.00p -1.89%Home Retail Group (HOME) 146.90p -1.28%Supergroup (SGP) 1,435.00p -1.17%Wetherspoon (J.D.) (JDW) 736.50p -1.14%Domino's Pizza Group (DOM) 843.50p -1.11%OneSavings Bank (OSB) 376.10p -1.08%BH Macro Ltd. GBP Shares (BHMG) 2,042.00p -0.87%Lonmin (LMI) 25.00p -0.87% FTSE TechMARK - RisersSkyepharma (SKP) 361.00p +4.64%NCC Group (NCC) 259.00p +3.60%Spirent Communications (SPT) 80.00p +1.59%KCOM Group (KCOM) 94.75p +1.07%Consort Medical (CSRT) 965.00p +0.73%Dialight (DIA) 606.00p +0.66%E2V Technologies (E2V) 240.00p +0.42%IShares Euro Gov Bond 7-10YR UCITS ETF (IEGM) € 200.76 +0.18%SDL (SDL) 373.25p +0.07% FTSE TechMARK - FallersOxford Instruments (OXIG) 669.50p -16.31%Filtronic (FTC) 6.50p -8.77%Oxford Biomedica (OXB) 7.89p -1.25%Ricardo (RCDO) 880.00p -0.96%Innovation Group (TIG) 39.75p -0.62%