Footsie remains close to opening mark

London’s FTSE 100 Index remained close to its opening mark today as investors struggled to find reasons to enter the market.

Corporate news was thin on the ground, while the lacklustre performance of Wall Street markets also did little for trading volumes or overall confidence.

By lunchtime, the Footsie was up 7.4 points at 4141.5 after entering both positive and negative territory during an uncertain session.

Economic worries in the United States appeared to be a major concern for investors on both sides of the Atlantic, with the Dow Jones Industrial Average again expected to open lower later today.

In London, Cable & Wireless proved to be the biggest Footsie faller following a bond issue by the telecoms group. Shares fell 7p to 97.5p as traders pondered the reasons for the fund-raising move.

On a positive note, BT Group surged 3.75p to 196.25p after announcing a broadband joint venture with web content provider Yahoo!. Among other telecoms, Vodafone lifted 1.5p to 123.75p and mmO2 added 0.75p to 57.75p.

There was also a 7.5p rise to 630p for Boots after the retailer announced plans for a trial move into the United States market.

A host of high street companies were on the up, with B&Q owner Kingfisher ahead 6p at 283p, Marks & Spencer 5p stronger at 302p and Next ahead 17p at 984.5p.

Housebuilders dominated the second tier after retirement homes specialist McCarthy & Stone announced on Friday it had received a takeover approach.

Investors excited by the prospect of further consolidation in the sector lifted McCarthy another 22p to 517.5p, with Westbury up 9.5p at 392p, Taylor Woodrow 9.5p stronger at 216.5p, Wilson Connolly up 3.5p at 183.5p, Barratt Developments 11.75p brighter at 472.75p and George Wimpey up 6.25p at 295.25p.

However, shares in aero-engines giant Rolls-Royce – due for promotion to the FTSE 100 next week – failed to sparkle, despite the announcement of a major engine order from airline Emirates at the Paris Air Show. Shares eased 0.5p to 123.5p.

Meanwhile, water group AWG fell 16p at 531p as reports suggested bid vehicle Bream Investments wanted to extend its deadline for making a formal offer.

Shares in debt-laden advertising group Cordiant were suspended at 4.75p “pending clarification of the company’s financial position”. It is currently the subject of a bidding war involving French group Publicis and WPP.