London open: Footsie on course for record streak

27th Jul 2009 08:20

London's winning streak continues with Footsie still firmly on course for a record-equalling eleventh straight day of gains. Twelve days of gains would make this streak the best ever for Footsie.Pearson is the best performer on a much better than expected trading update. Pearson upped its interim dividend as first half trading at its education division was better than expected, offsetting tough conditions for the FT and the adverse impact of currency movements.Banks are also going well on hopes the upcoming results season will mirror the US banks, which produced plenty of pleasant surprises. Lloyds and Royal Bank of Scotland are both sharply higher. Bus and train group Stagecoach is in exclusive discussions with the bidder for National Express to acquire some of its businesses if the offer goes through. Reports at the weekend had suggested Stagecoach was looking to mount a rival bid to the offer from CVC and the Cosmen family. But it said today that while it was considering "all other options" it has started talks about buying certain businesses and assets of National Express if that offer is successful.Miners are going well again on hopes for metal prices, merger activity and geenral economic recovery. Lonmin and Antofagasta are the best performers.Lower fuel costs helped budget airline Ryanair report a better than expected first quarter profit. The Irish group saw net profit rise to €136.5m in the three month ended 30 June compared with €21m last year, but it warned that full-year profits will be at the lower end of the €200m to €300m range previously given due largely to lower fares.Packaging group Rexam has confirmed that it is considering an equity raising to see it through the current difficult market conditions. In response to press speculation about a fundraising, Rexam, which makes cans and plastic packaging, said the risk of having its rating downgraded to sub investment grade had increased significantly. Building supplies group Wolseley has confirmed that trading conditions for the 11 months to June 30 continued at the depressed levels outlined in its May update, adding that it conditions will continue to deteriorate until the end of 2009.Gas and electricity pipeline grid operator National Grid said it is on track to deliver a strong performance in 2009/10.