London pre-open: Stocks to dip on UK house price index decline

12th Mar 2013 07:29

City sources predict the FTSE 100 will open down seven points from yesterday's close of 6,504, knocked by news that the UK house price balance dropped to a seasonally adjusted -6 per cent in February, compared to expectations of a rise to -2 per cent (from -4 per cent in January). In the US stocks settled higher, with the Dow Jones continuing its recent winning streak and recording its longest consecutive gain in almost a year. The S&P 500, meanwhile, came within just nine points of its record high, led by financial stocks. On today's agenda is the German consumer price index, the US Treasury Budget Statement, the UK January trade balance and UK industrial production figures. In UK company news, property group British Land has sold Ropemaker Place in London to an international consortium of investors for £472m. The sale represents a net initial yield of 5.0% on the basis of an acquisition of the units in Ropemaker Place Unit Trust. British Land will receive net proceeds of £461m in cash from the sale after costs, 1.4% above the September 2012 book value.Copper mining heavyweight Antofagasta has reported a 10.9% rise in 2012 revenues driven by a year of record production. Group revenues jumped to $6.74bn from $6.07bn, and beating Investec analyst estimates of $6.5m. UK banking group Lloyds has trimmed its holding via a placing of shares in wealth management outfit St James's Place in an effort to strengthen its capital cushion. The lender place nearly 102m shares at 510p a share, raising gross proceeds of around £520m, trimming its stake from 57% to 37%. It will realise a gain of around £400m on the placing.Profit contracted by 19% to $845m for the year ended December 31st at FTSE 100 gold and silver producer Fresnillo, financial results have shown. The group said that the impact on profit was mostly due to four things; lower silver price, anticipated lower ore grades at the Fresnillo mine, higher depreciation together with higher exploration expenses.