This Morning in London major shares pushed higher in early trading on the return from the two-day Christmas break. Retailers are likely to be in focus as investors try to guess the strength of Christmas trade and the Boxing Day start of the sales yesterday. Fears of bleak trading on the high street look to have eased after a last-minute surge of shopping, although concerns over profits remain after widespread discounting of stock in the run-up to Christmas. Figures from Footfall, the Experian-owned market research company, showed an increase in shopper numbers of 6.8% on Saturday, climbing to more than 20% on Sunday as shoppers hunted for bargains. At 8:45 the FTSE-100 was 9.1 points firmer at 6,488.4, with the broader FTSE indices all higher too.
BROKER RECOMMENDATIONS
Cazenove reiterates outperform on Morgan Crucible (MGCR).
Citigroup has issued a review of the UK Bookmakers, in which they reiterate hold Ladbrokes (LAD) (cutting the price target to 325p from 385p) and says hold William Hill (WMH) (cutting the price target to 525p from 665p).
The broker reiterates buy Senior (SNR) (125p target) and hold Trinity Mirror (TNI) (cutting the price target to 365p from 420p).
Citigroup has issued a review of the Oil & Gas Sector, which includes sell BG (BG.) (raising the price target to 630p from 600p), hold Royal Dutch Shell (RDSA) (raising the target to 2120p from 2100p), hold Soco (SIA) (raising the target to 2630p from 2530p), hold Burren Energy (BUR) (raising the target to 1230p from 700p), hold Addax (AXC) (raising the price target to 2400p from 2200p) and buy Tullow Oil (TLW) (raising the target to 800p from 700p).
Daniel Stewart reiterates buy Prodesse (PRD) (target price 500p) and avoid Debtmatters (DEBT).
Deutsche has downgraded Wolseley (WOS) to hold from buy (cutting the price target to 763p from 1460p).
Goldman has upgraded LogicaCMG (LOG) to neutral from sell (157p target price) and has neutral on Rentokil (RTO) (cutting the price target to 130p from 157p).
The broker says buy Vanco (VAN) (cutting the price target to 345p from 363p).
Lehman has reviewed the Food & Drug Retailing Sector reiterating its neutral sector stance and reiterates overweight on William Morrison (MRW) (360p target price).
Merrill has upgraded Northern Foods (NFDS) to buy from neutral (100p target price) and reiterates buy Cobham (COB) (230p target price).
Morgan Stanley reiterates overweight on Urals Energy (UEN) (raising the price target to 604p from 529p) and has overweight on Carnival (CCL) (price target 2700p).
Panmure has downgrades Straight (STT) to hold from buy (cutting the price target to 90p from 210p) and reiterates buy Filtronic (FTC) (raising the target price to 227p from 209p).
The broker says sell Sandvine (SAND) (cutting the price target to 190p from 222p and reducing estimates).
Sanford Bernstein has reviewed the Energy Sector with its Top European Tips including Royal Dutch Shell (RDSA).
The broker has also reiterated its positive stance on the UK Insurance Sector.
SG Securities has downgraded Biffa (BIFF) to sell from hold (350p price target).
UBS reiterates sell Bodycote (BOY) (cutting the price target to 180p from 220p) and has neutral on Thus (THUS) (cutting the price target to 145p from 170p).
The broker says buy Unilever (ULVR) (raising its price target) and Berkeley Group (BKG) (raising the price target to 2172p from 2012p).
NEWS ROUND-UP
Last Night in New York stocks closed marginally higher in thin trading, as concerns over holiday retail sales and downbeat housing data capped gains. The technology-laden Nasdaq posted the biggest gains among major stock indexes, led by shares of Apple, which traded above $200 for the first time. It finished up 10.91 points at 2,724.41. The Dow Jones edged up 2.36 points to 13,551.69. Earlier, the index hit an intraday low of 13,492.68. Whilst the S&P edged up 1.21 points to 1,497.66, recovering from a session low of 1,488.
On this day in: -
1728 - The signing of the Treaty of Berlin between the Holy Roman Emperor Charles VI and Frederick William of Prussia.
1834 - English architect Joseph Hansom patented the horse-drawn taxi, known as the Hansom Cab.
1888 - Dutch artist Vincent Van Gogh cut off part of his own right ear, apparently in remorse for threatening his friend, the French painter Paul Gauguin, with a razor during a quarrel.
1905 - The earliest recorded Great British beauty show was held at Newcastle Upon Tyne.
1920 - The French and Great British Governments approved the fixing of the boundaries of Syria and Palestine in the Middle East.
1922 - The BBC began regular daily radio news broadcasts.
1940 - World War II: Prime Minister Winston Churchill urged the Italians to rid themselves of dictator Benito Mussolini.
1941 - World War II: American forces on Wake Island in the Pacific surrendered to the Japanese.
1948 - Tokyo's former premier Hideki Tojo and 6 other Japanese World War II leaders were executed in Tokyo, after being found guilty of war crimes.
1964 - Thousands were killed by a typhoon which devastated Ceylon (now Sri Lanka) and a large part of southern India.
1969 - A summit conference of Arab leaders, at Rabat in Morocco, ended in disarray after failure to agree a joint strategy against Israel.
1986 - The American aircraft 'Voyager' completed the first non-stop flight round the world without refuelling.
1989 - 2,000 U.S. troops were sent to Panama to put down resistance from Panamanian troops loyal to ousted leader General Manuel Antonio Noriega.
1990 - In the Balkans, Slovenia voted overwhelmingly in favour of secession from Yugoslavia.
1991 - The out-going Russian leader Mikhail Gorbachev met Boris Yeltsin, to discuss handing him the Soviet nuclear codes.
1993 - The severe flooding of the Rhine (at its highest for 67-years) killed 6; badly damaging Cologne's 'old town' and threatened the new Parliament building in Bonn.
