Terror blasts fail to topple FTSE

London shares ended the week on an upbeat note as traders refused to let the Turkey terror blasts unsettle them.

The FTSE 100 Index stood 11 points up at 4319, although it dipped below the key 4300 support level during the day.

The mood in the United States also remained positive, with the Dow Jones Industrial Average standing more than four points up by London’s close.

Analysts said, however, that traders and investors will be looking over their shoulders for trouble.

“Any further problems from Middle East extremists could throw the baby out with the bath water,” said an analyst at one City spread betting firm.

It was quiet on the corporate front in London, with no top flight companies reporting.

Music group EMI provided the main news after it emerged that a rival was favourite to take over Time Warner’s recorded music division.

The stock spent most of the day at the top of the FTSE 250 fallers board, but regained a little composure to end the day down 6.5p to 163p.

Medical devices company Smith & Nephew lost top spot in the Footsie risers to finish the day 8.25p up at 453.75p after broker Goldman Sachs reiterated its outperform grading on the group.

Goldman said the strength of S&N’s orthopaedic business was helping it overcome a temporary lull in its endoscopy and advanced wound management activities.

Mobile phone firm mm02 took S&N’s place at the top of the Footsie tree after seven directors bought shares in the group. The stock rose nearly 3% or 1.75p to 69p.

Media group Granada finished up second highest, rising 2.75p to 115.5p, after analysts forecast that the group will report a 147% increase in full year pre-tax profits next week.

Online ticket agency Lastminute.com spent much of the day in positive territory, but ended it 11.5p down at 237p after yesterday’s announcement that co-founder Martha Lane Fox was quitting day-to-day running of the company.

HSBC, whose offices in Istanbul were hit by yesterday’s blasts, gained 19p to 879p as investors welcomed the announcement that it intended to keep its 160 branches in Turkey open.

Lloyds TSB recovered an early loss to stand 2p up at 398.75p, but Abbey ended the day off 3.25p at 527.75p, while HBOS was up 1p to 690p, Royal Bank of Scotland lost 9p to 1555p and Barclays fell 0.5p to 485.75p.

In the second rung, shares in civil engineering and construction group Balfour Beatty were unchanged at 215.75p after announcing that it was taking full control of road operator Connect Roads.

But FTSE SmallCap stock Fuller Smith and Turner, the London brewer, sank 5p to 590p despite announcing that half yearly pre-tax profits had risen 4% to £8 million.

The day’s biggest risers included mm02, up 1.75p to 69p, Granada advancing 2.75p to 115.5p, HSBC rising 19p to 879p and GlaxoSmithKline moving 28p ahead to 1367p.

Largest fallers included Schroders NV, down 22.5p to 590p, Schroders down 22.75p to 655p, Marks & Spencer off 5.25p to 270p and 3i Group shedding 10.25p to 608.5p.