BP shares surge on cuts

BP said it could cut capital spending further after reporting an 80% drop in profits in the first quarter of the year, when oil prices touched a near 13-year low.

The British oil company, the first major to report on one of the weakest quarters, lowered its 2016 spending target to $17 billion (€15.1bn), from $17bn to $19bn, and said the marker could fall to $15bn to $17bn next year if oil prices remain weak.

However, BP shares surged 5% at one stage in London yesterday, the second-biggest gainer in the blue-chip FTSE 100 index.