London open: Lloyds fires Footsie higher

19th Mar 2010 08:45

London's top stocks have started strongly after the Dow posted its eighth day of gains and Lloyds Banking predicted a profit this year.Part-nationalised lender Lloyds will be profitable on a combined businesses basis in 2010, chief executive Eric Daniels claimed Friday. In a short statement ahead of a presentation at the Morgan Stanley European Financials Conference later today, Daniels said trading in the first 10 weeks of 2010 had been "strong".Miner Rio Tinto and Chinese-run aluminium firm Chinalco have signed a memorandum of understanding (MoU) to establish a joint venture covering the development and operation of the Simandou iron ore project in Guinea. The deal is the latest sign that the two companies have patched up the differences caused by last year's collapse of their planned tie-up.Electricals retailer DSG has given a bullish update on its revamp plan, saying gross profits at its new format stores are up by 20% on average and trading has been strong in the reformatted stores into the second year. Chip designer Imagination Technologies said it has continued to see growing interest in its technologies across many partners and markets in the period from 1 November 2009 to 19 March 2010. So far this financial year, the group has concluded a number of licensing agreements and is currently progressing a 'significant' number of 'sizable' agreements with both existing and new partners. Blacks Leisure has rejected an indicative 62p bid from rival sportswear group Sports Direct and is to revive its fund raising plans. In a statement, Blacks said the offer for Sports Direct contained a number of pre-conditions, which included a unanimous board recommendation. The board, though, considers the offer to be "wholly inadequate".Elsewhere, last minute talks between British Airways and the Unite trade union are continuing today to avert tomorrow's three-day strike.Syria-focused oil explorer Gulfsands has rejected a bid approach from an unnamed group saying it is highly conditional and subject to due diligence and other material pre-conditions. Electrical engineering and contracting company T Clarke is looking to the future with "cautious optimism" and believes the group is in "good shape" despite watching profits halve during 2009.Profits nearly halved last year at flooring specialist Headlam though sales picked up in the second of the year and moved forward in the last three months.