Footsie ends week on a high note

London shares received a pre-Easter boost today when insurance giant Prudential led the FTSE 100 Index to a positive end to the week.

The Pru was the highest Footsie riser after announcing the departure of chief executive Jonathan Bloomer, helping offset a weaker performance by oil companies and miners.

Supermarket group Sainsbury’s was another of the session’s top performers as it announced early signs of encouragement from its turnaround strategy, helping the Footsie end the day 12.1 points higher at 4922.5.

A positive start to the day in New York also lifted spirits with the Dow Jones Industrial Average moving around 30 points higher by the end of trading in London.

At home, the ousting of Mr Bloomer, who has been criticised for his decision to stage a £1 billion rights issue last year, was seen in a positive light as Prudential investors looked for successor Mark Tucker to target growth in the profitable Asian market. Shares climbed 5% or 23.5p to 501p.

The move could also revive the chances of the Pru selling its 79% stake in internet bank Egg, a mission Mr Bloomer failed to complete last year. Egg shares rose outside the top flight, up 7% or 7.25p to 114.5p.

The developments at the Pru helped lift others in the insurance sector with Friends Provident cheering 3.25p to 179p and Legal & General advancing 0.25p to 117.75p.

Sainsbury’s was the sixth highest Footsie climber, cheering 6p to 293p after revealing like-for-like sales for the fourth quarter were 3.7% higher.

National Grid Transco was 8p stronger at 495.5p after predicting an improvement in annual results even though the weaker US dollar will shave around £20 million from its earnings.

However, shares in oil giant BP – the largest quoted company in the UK – fell 4.5p to 551p as investors pondered the cause and likely cost of a fatal explosion at a refinery owned by the company in Texas.

Oil sector rival Shell fell 2.5p to 478.5p as the cost of a barrel of US light crude stood below 54 US dollars today, well off its recent record highs.

Morrisons suffered further losses after yesterday’s announcement of a boardroom shake-up including the departure of its finance director. Shares weakened 3.75p to 194.5p, adding to yesterday’s fall of 2%.

Outside the top flight, supermarket group Somerfield surged 6% or 12.5p to 207p, a gain of 6%, after it said it had received further takeover approaches.

And housebuilder Country & Metropolitan added 19.5p to 296.5p after receiving an offer worth up to £78 million from property tycoon Remo Dipre’s company Gladedale. Gladedale said a deal would boost its rapidly expanding portfolio of UK housebuilders.

The highest Footsie climbers were Prudential up 23.5p to 501p, BT adding 6p to 206p, International Power up 5p to 181.5p and Schroders NV adding 15p to 677p.

The heaviest fallers were BHP Billiton off 17p to 709p, Rio Tinto down 41p to 1711p, Morrisons off 3.75p to 194.5p and Hilton down 4p to 298.5p.