Can-maker helps FTSE into black

London’s leading shares bounced back into positive territory today with drinks can maker Rexam spearheading the recovery.

The FTSE 100 Index closed 42 points down last night and opened in similarly downbeat mood, but it was back on the rise by mid-morning, gaining 14.5 points to stand at 5874.1.

The leaderboard was topped by Rexam – up 22.75p to 533.75p – after it delivered results in line with expectations and maintained hopes for further strong growth.

However, fresh disappointment from services group Rentokil Initial sent its shares to the top of the fallers board.

The 5% drop – off 7.5p at 152.25p – came after Rentokil reduced full-year profits expectations for its textiles and washroom service business.

Mining stocks were also in glum mood with Rio Tinto down 22p at 2707p and Vedanta slipping 7p to 1355p. BHP Billiton also fell – 7p to 1007p – as it continued to feel the effect of a strike at its Escondida copper mine.

Banking stocks were in focus after Credit Suisse reviewed target prices for a number of companies, including a downgrade for Alliance & Leicester.

A&L shares were off 1p at 1012p, but Halifax Bank of Scotland rose 9p to 1000p following an increase in its target price to 1090p.

Outside the top flight, Laing took a hit as it reported an 11% drop in pre-tax profits after revealing losses at its Chiltern Railways arm caused by a tunnel collapse in July last year. Shares weakened by 17.5p to 273p.

Ladbrokes fell 9.75p to 386p, reflecting moderate disappointment in the market at its 12.3% rise in half-year operating profits to £151.3 million.

There was a further fall for software firm iSoft, down 1.25p to 40.5p after confirming that the Financial Services Authority had launched an investigation into possible accounting irregularities.