Sharp falls in London

Press, 28 May 1984, Page 26

Sharp falls in London

Share prices on the London Stock Exchange rallied from a lower opening to end mixed on Friday, but were sharply lower on the week because of rumours about the stability of the U.S. banking system, the failure of talks between the UK Coal Board and the miners, and renewed tension in the Middle East after fresh attacks on Gulf shipping, dealers said. The FT index rose 2.4 points to 828.8, making a net fall of 45.6 on the week and down 94 ■ points from the record of 922.8 set on the third of this month. On Tuesday the index showed its largest fall since September, 1981, a drop of 20.1 points. Speculation about an increase in U.S. interest rates, and Wall Street’s 13-month low overnight had fuelled initial selling, dealers said. Market sentiment was also affected by concern that money growth would

accelerate in the short term. Australian stocks also took a further battering on the London market last week. Values slumped in all sectors after appearing in midweek trading to have steadied from the downward trend which started the week. Industrials appeared the worst hit. Closing prices on Friday of a selection of issues were:- Ampol, 106%; ANZ, 347%; BHP, 632; Dalgety, 400; Elder Smith, 229%; Fletcher, 134%; NorthßH, 152%; Plessey, 206; Renison, 210; RTZbear, 605 and reg 603%; Trans Dev, 92¥i; West Mining, 214%; Westpac, 223%; BAT, 206; Distillers, 281; Glaxo, 810; ICI, 544; Lloyds Bank, 519; Marks and Spencer, 239; PandO, 296; Prudential A, 451; Reedlnt, 416; Shell Transport, 678; Unilever, 865; War Loan, 33%; De Beers, 727; (quoted in US dlrs).