FTSE on the rise in early trading

The London market made a positive start to the year today as investors shrugged off signs of a tough Christmas for retailers.

News of “disappointing” sales at Woolworths dragged the FTSE 250 stock 5% lower but failed to hurt sentiment in the top flight.

By mid-morning the FTSE 100 Index was 29.5 points higher at 4843.8.

Traders took heart from yesterday’s fall of more than a dollar in the price of a barrel of US light crude.

The retreat, due to lower demand for heating oil caused by warmer weather in the north eastern US, left the price at less than $42 a barrel in futures trading today.

On a quiet start to trading in London, the biggest corporate news came from outside the top flight.

High street chain Woolworths headed the list of FTSE 250 fallers, down 2p to 38p, after it said that in the four weeks to Saturday like-for-like sales from its core estate of 806 shops were flat against the previous year.

Out oil giants BP and Shell weakened – off 4p and 0.5p to 504p and 443.5p respectively – as investors reacted to the fall in the cost of crude.