Financial services company Britannic unveiled a £1.8bn (€2.7bn) merger today in a move set to create a leading manager of closed life insurance funds.

London shares overcame disappointing economic data and profit-taking to register their fifth straight session of gains today.

Caution ahead of the return of US traders from their long weekend was hampering the London market’s progress today.

UK financial services group Britannic today showed evidence of its improving financial position as it posted a 6% rise in operating profits and an interim dividend.

Investors took money off the table today as the optimism behind last week’s 15-month high in the FTSE 100 Index ebbed away.

Prospects of a lower opening in the United States kept investors in London on their guard today.

BARGAIN-HUNTERS seized on cheap stocks yesterday as the FTSE 100 Index surged almost 100 points during a rare upbeat session.

The FTSE 100 Index is up 63.4 points at 3547.2 thanks to rises in banking, telecom and drug stocks.

The City was today hoping that the London stock market would continue its fightback.

SHARES in UTV and Irish Life & Permanent have been given stronger recommendations by brokers recently, based on similar arguments.

Retail stocks tumbled sharply today after electricals retailer Dixons issued a shock profits warning.

The FTSE 100 Index tumbled back below the 4,000 level today as hefty falls from banking and insurance stocks hit the market.

The FTSE 100 Index was holding its own today despite financial services group Britannic delivering another blow to the insurance sector.

The FTSE 100 Index is up 2.7 points at 5244.7 after going up at first and then falling 23 points.