London rises on Wellcome news

Press, 21 August 1989, Page 16

London rises on Wellcome news

NZPA-Reuter London London share prices remained firm in quiet after-, noon business on Friday (early Saturday N.Z. time) after Wall Street recovered from earlier weakness that had been prompted by losses in Treasury bonds. Dealers said Wellcome’s 154 p rise to 663 accounted for most of the day’s strength in the FTSE index. The U.K. drug company gained on news that a U.S. survey found that its AZT AIDS drug delays the progress of the disease in patients not yet showing symptoms. At 3 p.m. the FTSE index was 12.5 points up at 2372.5. On Thursday share prices had lost ground as Wall Street extended early losses after the U.S. Bond market reversed an initial positive reaction to a smaller than expected U.S. June trade gap. Cable and Wireless rose 12p to 584 after publication of the prospectus for its American depositary shares which showed encouraging revenue per subscriber growth in the company’s Mercury Communications unit.

Royal Insurance was lip stronger at 444 after reporting half-year pre-tax profits of £119.6 million from a previous £IS4M. A 13 per cent increase in Royal’s dividend payment to 10.75 p in spite of the fall in profit, at a time of increased competition was encouraging, analysts said. A general shortage of stock on Wednesday had helped

share prices build on early strength, and modest gains on Wall Street gave further support in late trading. Brewers featured with double figure gains on news of a 20 per cent rise, to £674M, in Scotch whisky exports in the first half of 1989, and strong demand for other alcoholic and soft drinks in May, dealers said. Equities remained mixed towards the end of a quiet Tuesday session, reflecting investor reluctance to participate in a market depressed by previous sharp falls and facing the hurdle of a crucial set of U.K. and U.S. data over-coming days. By 3 P.M. the FTSE index was 2.3 up at 2328.2. Prices had closed above the day’s worst levels on Monday in moderate trading after an early sharp markdown in the wake of bearish press comment and Wall Street declines.

Friday closing prices (sterling) include. — AMEC 4.78, ASDAGrp 2.01, Allied Lyons 5.40, BP 2.94, BATlndord 8.15, BTR 4.85, Barclays Bank 5.24, Beechams 6.43, Bicc 5.42, Blue Arrow 1.11, BlueCircleCmt 2.67, BocGrp 5.35, Boots 2.95, BowaterCorp 5.23, Brit Aerospace 7.12, Brit Arrow 1.30, Brit Airways 1.99, BritGas 2.10, BritTelecom 2.55, BurmahOil 6.60, Cable Wire 5.83, CadburySchw 4.10, Comm Union 4.13, Courtaulds 3.78, DeLaßue 3.28, Ferranti 0.81, Fisons 3.43, Gen Accident 10.08, GEC 2.76, Gestetner

2.8 V, GlaxoHldgs 15.30, GranadaGrp 3.74, Grand Met 6.37, Guardianßoyal 2.13, GKNett 4.73, Guinness 5.93, Hanson Trust 2.32, HawkerSiddeley 7.70, ICI 12.66, Inchcape 2.93, Jaguar 4.09, JohnsonMatthey 4.15, Julianas 0.95, LadbrokeGrp 3.30, Land Sec 5.96, Legal General 3.52, Lloydsbank 3.94, Lucaslnd 7.07, Marks Spencer 2.18%, Metalßox 2.13, Midlandßank 3.63, NatWestßank 3.41, PandO 6.95, Philips 0.11%, Pilkington 2.60, Prudential 2.06, RTZ 5.55, RacalElect 2.21, RankOrg 9.85, RHovisMcDougall 4.60, ReckittandColman 12.08, Reedlntl 4.67, ReutersHldgs 9.62, Rollsßoyce 1.86, Rothmanslnt 6.72, RoyalßankScotland 4.28, Royal Dutch 0.42 7/16, Roya11ns 4.36, SaatchiSaatchi 3.24, Sainsbury 2.86, Scottish Newcastle 4.10, Sears 1.30, ShellTr 4.35, Smith Nephew 1.42, Standardbank 5.48, STC 3.68, SunAUiance 3.14, Tate Lyle 2.98, Taylor Woodrow 2.93, Tesco 2.14, ThornEMl 8.29, TrustHF 3.41, Turner Newell 2.56, Ultramar 3.31, Unilever 6.50, Utdßiscuits 3.99, Vickersord 2.39, WaterfordGlass 0.73. N.Z., AUSTRALIA ANZBank 2.44, BellGrp 0.33, Bond Corp 0.35, BIL 0.91, BHP 4.81, CRA 5.23, CSR 2.46, Charterhall 0.22, ColesMyer 4.37, Dalgety 4.18, Elders 1.44, FCL 1.98, IClAust 3.14, MIM 1.22, NatAustßank 2.99, Newslntl 3.94, NthßH 1.35, NZI 0.24, RenisonGold 4.03, TKM 1.25, Trans Dev 2.81, WMC 3.00, Westpac 2.46,