London market firm in light trading

Press, 14 March 1977, Page 14

London market firm in light trading

Share prices continued to advance on the London Stock Exchange last week, but trading remains light. An earlier easier tendency was arrested after the February wholesale index which showed only a moderate rise against the previous figure, dealers said. Investors’ sentiments were helped by the latest banking statistics which showed a further fall in money supply, the one point reduction in the Bank of England minimum lending rate, and the firmness of sterling. Some of the buying was again from overseas sources.

An adverse influence was the recommendation by British Leyland toolroom strike leaders to reject Wednesday’s peace formula. The main stimulant in the bond market was the’ reintroduction of the mar-ket-related formula for the Bank of England minimum lending rate. Marketmen took the view that a further reduction in the lending rate is likely next Friday. In spite of the slightly firmer trend on their home markets, Australian shares were depressed in London.

Banks were easier, and most miners suffered losses, although Comalco, E.Z.1., and B.H. South recorded small gains. Peko Wallsend lost 8 cents, and C.S.R. sc. Retailers were strong, led by Myer which gained lie; Coles sold 3c higher.

Closing prices on Friday of a selection of shares were;—

Ampol. 48: A.N.Z.. 281 J; N.S.W., 3871; B.H.p:, 585; Dalgety, 2341; Elder Smith, 1671; Lloyds Bank, 2171; Mt Lyell, 30; Challenge, 1521: Nth 8.H., 1011; Plessey, 66: R.T.Z. ord., 230 and regd, 206; B.H. Sth, 1181; Transdev., 543; West. Mining, 1371; 8.A.T.,

252 J; Distillers, 129 J; Glaxo, 743; 1.C.1., 3404: Marks and Spencer, 108; P and O, 1.39 J; Prud. “A.” 129; Reed Int., 211 J; Shell Transport, 5074; Unilever, 460; War Loan, 294.