Become a Member
  • Track your favourite stocks
  • Create & monitor portfolios
  • Daily portfolio value
Sign Up

FTSE up but Spain fears temper gains

Mon, 28th May 2012

The leading share index in the UK crept higher on the first session of the week as fears over Greece started to ease but Spanish economic woes came into focus. By the close of trade, the FTSE 100 was higher by 0.09 per cent, ending at 5356.

There was good news for EU leaders over the weekend as fresh polls seemed to point to left wing party Syriza losing their grip on the nation. Five separate opinion polls showed New Democracy leading the way, with a margin of between 0.5 to 5.7 points. Whilst polls have a habit of being proven wrong, indications that the Greek public are moving away from radical action eased concerns.However, putting downward pressure on markets was the situation in Spain where the banks have been downgraded and the government has been asked to pour billions of euros into cash-strapped financial firm Bankia. Rumours also spread that the whole sector would require re-capitalising and the Spanish government could be forced to strength the solvency of the whole industry.International Airlines Group was the heaviest faller, shedding 2.70 per cent due to its link with Bankia who hold 12% in shares. The President has already admitted the bank is likely to sell off assets in order to raise cash and IAG looks like a probable candidate.Copper miners were at the opposite end of the leaderboard as prices rose due to news that stockpiles in China are depleting. BHP Billiton and Rio Tinto were the two main beneficiaries, higher by 0.76 and 2.24 per cent respectively.Also amongst the top 10 stocks was outsourcing specialist Capita, who added 2.95 per cent due to a broker upgrade.
FTSE 100 Latest