FTSE to best streak in 7-month
LONDON: The FTSE 100 closed higher for a sixth consecutive session on Wednesday, its best run since August 2010, as investors ditched retailers over earnings worries in favour of growth sectors such as industrials and mining.
Dixons issued a profit warning and gloomy outlook as a survey from the Confederation of British Industry showed the underlying trend for retail sales remained weak. Dixons, Britain's No.1 electrical retailer fell 18.3 per cent, while the country's biggest pizza delivery firm, Domino's Pizza UK & IRL Plc, fell 4.2 per cent as it reported a slowdown in sales growth.
Next shed 2.6 per cent and Marks & Spencer dropped 3 per cent as MF Global initiated its coverage on the latter with a "sell" rating, arguing it has a "history of boom and bust", while Oriel cut its earnings forecasts.
Traders said banks weighed on gains ahead of Irish banking stress-test results on Thursday.
Barclays potentially dealt UK Plc a blow. It was reported to be considering moving its headquarters to the United States due to the UK threat of higher capital requirements.
Despite the retail gloom, London's blue-chip index closed up 16.13 points, or 0.3 per cent, at 5,948.30. The index has risen 6 per cent since it's year-low of 5,591.59 on March 15, rebounding from sharp falls after Japan's earthquake, political trouble in the Arab world and European debt worries.
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