UK stocks open 0.5% stronger amid US shutdown progress

Writer, Stock Market Wire
Tuesday, February 12, 2019 - 09:02

UK stocks opened on higher Tuesday after signs the US would avoid another government shutdown boosted global markets.

At 0858, the benchmark FTSE 100 index was up 37.88 points, or 0.5%, at 7.166.99.

Online broker Plus500 tumbled 31%, despite almost doubling its annual profit. The company also warned that tighter UK regulations would cause it to post a a profit in 2019 'materially lower' than market expectations.

Ailing department store chain Debenhams jumped 40% on news that it had secured an extension to its credit facilities and inked a sourcing partnership with export group Li & Fung.

Travel company TUI dropped another 4.4% as it posted a deeper earnings loss in its fiscal first quarter, while reiterating last week's shock guidance downgrade.

Pharmaceutical company Indivior shed 2.2% after a US court denied its appeal against a decision allowing rival Dr. Reddy's Laboratories to sell a generic version of its opioid addiction treatment.

Train and bus company Stagecoach advanced 1.4% as it confirmed that subsidiary East Midlands Trains had agreed a new short-term rail franchise with the UK's Department for Transport.

Insurer AA added 0.5% on announcing that it expected its annual underlying earnings to be at least £340m, in line with its previous guidance range of £335m to £345m.

Data company for the retail and transport sectors Touchstar rose 4.4% as it guided for a shallower loss than the market was currently expecting, due to margin improvement.

Logistics company Wincanton gained 1.2% on news that it had been selected by UK tax authorities to support air and sea freight inspections.