FTSE beats BP slump

Shares in oil giant BP took a further hit today as investors pondered the impact of the on-going pipeline closure in Alaska.

The heavyweight stock slipped 1% or 7.5p to 615p on the FTSE today, following a 2% drop yesterday in the wake of the corrosion problems and minor leak.

However, the decline failed to drag back the rest of the market, with the FTSE 100 Index up 10.8 points to 5839.7 by mid-morning.

Softer oil prices boosted sentiment, even though uncertainty remained over the US Federal Reserve’s decision on interest rates later today.

Shares in beleaguered ITV were on the slide – down 1.75p to 99.75p – despite the company announcing chief executive Charles Allen will step down.

Investors may be considering analyst suggestions that it will take more than a management change to kick-start a change in fortune for the channel.

Brewing giant Scottish & Newcastle failed to earn any reward for a 12% rise in half-year profits. The figures were in line with expectations, but analysts drew attention to ongoing cost concerns as S&N shares slid 16p lower to 516.5p, a drop of 3%.

There was also a lukewarm response to interim results from Friends Provident, after it said profits from new business in the UK rose 51% to £53m (€78.6m). Shares were down 2.75p at 178.25p, even though analysts said the performance looked impressive.

Outside the top flight, two retailers both reported negative like-for-like sales because of the impact of the weather and the World Cup. Carpetright shares were trading flat at 1214p after signs of some margin improvement, but Moss Bros slipped 6p to 66p, a drop of 8%.

Meanwhile, department store chain Debenhams found itself up 1% – or 2.25p at 174p – after it announced the capture of nine leaseholds on Roches Stores outlets in Ireland, as well as revealing plans to expand its UK store-opening programme.