London off to subdued start

A rally on Wall Street failed to inspire the London market today as trading got off to a subdued start.

By 9am the FTSE 100 Index had dipped 2.9 points at 5201.9, although it dropped more than 20 points when it first opened.

The stagnant performance was despite another surge in the US last night, where the Dow Jones Industrial Average put on 169 points while investors snapping up tech stocks helped the Nasdaq soar 3.2%.

In the UK this morning, however, tech stocks were mixed.

Computer services firm Logica firm was unable to hold onto yesterday’s modest gains.

But telecom stocks were faring better, with Vodafone ahead 1.75p (2.8c) at 104.5p (167.5c) and mmO2 up 1.75p (2.8c) at 46.25p (74c).

Retailers were having a weak morning and high street fashion chain Next lost 13.5p (21.5c) while Argos-to-Burberry group GUS shed 7p (11c) at 651p (1043c).

Among the grocers, WM Morrison Supermarkets and Tesco fell about 3c.

In a quiet morning for corporate news, gas transportation group Lattice eased .25p (.4c) at 192.5p (308.5c).

Lattice, which posted 15-month figures today, said it was taking a £250m (€400.5) charge to cover the lower value of its loss-making broadband unit.