London open: Dull start after US dip

23rd Jun 2010 08:52

Last night's late sell-off in the US has hit London this morning though selling has been selective rather than widespreadAmerican investors took flight following weak housing data and Asian markets followed suit this morning. Reflecting that, miners are down across the board led by heavyweights Xstrata, Rio Tinto and BHP Billiton.Tobacco companies are a bright spot, which is unusual the day after the Budget. But the current chancellor left the industry alone yesterday, which has encouraged buyers of both BAT and Imperial today.In company news, Kesa Electricals, the company behind TVs-to-washing machines retailer Comet, traded in line with expectations during the 12 months to 30 April, but it's the French chain Darty that's behind a 28% recovery in profits to £98.6m. Rail and bus firm Stagecoach's profits beat market expectations despite raising earnings guidance as recently as the end of April. Underlying profit before tax in the year to 30 April were £161.3m, down from £196.4m the year before. Central Europe focused lender International Personal Finance said trading has been ahead of plan so far in 2010. Credit issued is growing steadily and credit quality in all markets is good, the company said. Premier Inn owner Whitbread would be interested in snapping up rival low-budget hotel chain Travelodge were its owners to put it up for sale, newspaper reports suggest. Graphics chip designer Imagination Technologies predicts the number of devices sold that use its chips could quadruple over the next few years. Revenues for the year to April 2010 rose 26% to £80.9m (2009: £64.1m). Pre-tax profits soared to £10.2m from £2.7m. The Capital Pub Company claims to have outperformed its peers with its full year results as London's pub scene remained more buoyant than the rest of the UK. Revenue in the year to 27 March 2010 rose 11% to £22m from £19.8m the year before, while adjusted profit before tax climbed 32% to £2.7m.