LONDON Weaker £ boosts shareprices

Press, 27 January 1986, Page 12

LONDON Weaker £ boosts shareprices

PA London Share prices closed mixed on the last week of the account. The FT 30 index was 7.5 points up at 1126.2, while the FTSE 100 index closed four points down at 1392.0. Share prices declined initially in reaction to the threat of a further rise in United Kingdom interest rates after sterling was forced lower by a further fall in crude oil prices. The Bank of England, however, refused to endorse a fresh rise in base rates and this prompted a rally which left prices mixed on the week, dealers said. Oils were higher on balance, despite the easier crude oil prices, with BP 28p up at 573. Major exporting companies gained from sterling’s weakness, as in ICI up 37p at 784 and Glaxo 95p higher at 1640. Guinness was lOp down at 293 after news of an agreed bid for Distillers, 54p up at 576. The original suitor, Argyll, put on 3p to 346. Elsewhere in

the bid stocks, Plessey ended 6p higher at 174 after GEC’s bid for the company was referred. GEC finished the week 8p down at 160. BTR closed 23p firmer at 393 after news it had agreed to sell Cornhill Insurance to Allianz Group for£3os million. Westland ended 43p higher at 141 after speculative buying late in the week together with news that businessman Alan Bristow had increased his stake in the company to just under 17 per cent. Beecham rose 43p to 366 and Coats Patons gained 52p to 203 on bid speculation, dealers said. Group Lotus returned from suspension to close 9p up at 129 after news that General Motors agreed to purchase a 58 per cent stake in the company. Among companies announcing results, First Leisure Corp closed 2p off at 416 after full year figures. In lower banks, Midland was 15p down at 434 after news it

is to create an Irish banking group. Lloyds lost 38p to 454. < Insurances eased with Guardian Royal 31p off at 745. Golds declined with the bullion price .as in Randfontein two; dollars lower at 88%. In diamonds, De Beers shed 35c to 575. Government bonds declined with weaker sterling to show losses of around one point, dealers said. Closing prices in pence on Friday of a selection of issues were:— Ampol, 120%; Allied Lyons, 263; ANZ, 229%; BP,' 573; BHP, 440%; BAT, 338; Brit Oil, 200; Brit Telecom, 179; War Loan, 34%; Dalgety, 219%; De Beers, 575 (quoted in U.S. dollars); Distillers, 576; Elders, 159%; Fletcher, 122%; Glaxo, 16 13/32; ICI, 784; Lloyds Bank, 454; Marks and Spencer, 167; North BH, 138%; NZI, 64%; P and O, 436; Plessey, 174; Prudential ■A’, 759; Reed Int, 654; Renison, 274%; Reuter ‘B’, 393; RTZ reg, 566% and Bear, 580; Shell Transport, 673; Thom ord., 379; Tozer KM, 71; Trans Dev, 138%; Unilever, 13 35/64; West Mining, 183%; Westpac, 227%.