Good morning traders!

In the US last night, after opening weakly with profit-taking and mixed economic and earnings news taking their toll, the Dow managed to rally enough to close 14.19 points ahead at 10,705.64 but the Nasdaq fell 16.4 points to 2,146.15 and the S&P500 weakened 2.62 points to close at 1,203.2.

In Asia this morning, Tokyo is well ahead but Hong Kong is looking bearish.

Back later with UK breaking news....

Happy trading!

G.

morning all

BP has made a major gas discovery off the southeast coast of Trinidad, Energy Minister Eric Williams announced.

The find was struck on December 13th in a well in the waters of the Atlantic Ocean off the coast of the Caribbean island, the minister told reporters, without disclosing its size.

MARKETS

FTSE 100 4,735.2, up 7.0

FTSE 250 6,793.6, up 35.7

DJIA 10,705.60, up 14.20

Nasdaq Comp 2,146.15, down 16.40

S&P 500 1,203.20, down 2.50

Tokyo: Nikkei closed at 11,078.32, up 153.95

Hang Seng midday 13,997.05, down 27.58

Gold 438.72 usd (440.92 usd)

Oil - Brent Jan 41.45 usd (41.75 usd)



BREAKING NEWS

* Terror ruling poses challenge for government; Law Lords' decision on detention of suspects is first problem for new home secretary - FT

* Baugur today set to make a 326 mln stg formal bid for THE BIG FOOD GROUP - Times

* Three ready to sue as Ofcom plans to relax 3G targets - Times

* Turkey promises EU an end to Cyprus dispute - FT

* CORUS signs 3.5 bln stg deal to lock in steel supplies - FT

* Retail sales bounce back in run-up to Christmas; Britons spent 0.6 pct more on the high street in November than in October, pushing the underlying annual rate of increase to 6.4 pct - Office for National Statistics

* KIDDE agrees to 1.44 bln stg UTC bid

* TRAVIS PERKINS beats rivals to clinch Wickes

* WHITEHEAD MANN shares tumble as takeover talks fail

* JOHN DAVID buys RD Scott for 4 mln stg



PRESS COMMENT

FT

THE LEX COLUMN comments on Russia (at current valuation levels, well-diversified bargain hunters should keep a close eye on Russian stocks), KIDDE (offer looks good), Johnson & Johnson/Guidant, Asian markets - PACE MICRO (seems litle impetus for uplift until the company's record becomes more consistent and the US problem is resolved) - PETREL RESOURCES (fears it has lost out on two contracts in Iraq)

Guardian

GUS (talk of break-up bid) - WILLIAM MORRISONS SUPERMARKETS (suggestions it will struggle to achieve its full-year profits forecasts) - TRAFFICMASTER (talk of a profits warning this morning)

Independent

THE INVESTMENT COLUMN: ALLIANCE UNICHEM (still a buy for the long term), REGENT INNS (buy) - GUS (talk of record 11 bln stg buyout bid)

Express

WHO'S DEALING: JAMES LATHAM (chairman lifts stake to 2.4 pct) - SHARE WHISPER: ASCRIBE (dealers expect a healthy debut on AIM today) - BROKER'S VIEW: BIZSPACE (Teather & Greenwood positive)

Times

RUMOUR OF THE DAY: SIMON GROUP (talk it may following Mersey Docks in attracting a private equity bid approach) - DIRECTORS' DEALINGS: INDIGOVISION (three directors buy stock for 140,000 stg) - TEMPUS: ALLIANCE UNICHEM (buy), CARNIVAL (hold), REGUS (avoid)

Mail

PETREL RESOURCES (Iraq oil contract fears spread) - AEGIS (licensing and distribution agreement with DuPont)

Investors Chronicle

Peter Temple selects five stocks that appear to have that elusive ROE (return on equity) star quality: DETICA (buy), ANDREWS SYKES (buy), BLOOMSBURY PUBLISHING (buy), MCCARTHY & STONE (buy), MEARS GROUP (buy) - TIPS: NORTHERN ROCK (buy); TIPS - LARGE COMPANIES: BALFOUR BEATTY (buy), GREENE KING (sell); TIPS - SMALLER COMPANIES: FIRST QUANTUM MINERALS (buy), P&MM (buy), TORDAY & CARLISLE (buy); TIPS - UPDATES: HHG (fairly priced), TARSUS (buy), PREMIER FOODS (buy), LAWRENCE (buy), DELTRON ELECTRONICS (buy)

nothing on PET - could this have been a bear scam?

Morning all.

Cairn Energy clobbered by 20%! Phew!

covered TSCO +4.5

covered SOF +1 +1.25

covered TATE +4.5

long BUR 423 s/l on

long more BUR 425.75 s/l on

covered final SOF +6

Morning all,

What happened to BDEV yesterday. Logged in last night to find - well you can see for yourself with this 2 day chart!




Something going on?????

covered BUR +2.25 +5

long BOC 946.25 s/l on

long more BOC 946.50 s/l on

lw - same happened to several of the builders. Times reckon it was hedge funds closing shorts prior to holiday period and their year end.

covered half BOC +4.5

covered final half BOC +5.25

Thanks Hotei - how are you by the way?

LW saw an article on text this AM: Macarthy & Stone (excuse spelling if incorrect) saying that deposits on new developments had fallen. Maybe builders in general are feeling a slight contraction in business.

long BOC 945 & 945.25 s/l on

Anyone out there doing GOOD this afternoon?
most of mine looks... :>(

lw - very well thanks ... . and you ? I'm no longer employed in the old place - moneyam e-mail updated to forward to new address.

MARKETS
FTSE 100 4,696.8 down 38.4
FTSE 250 6,767.40 down 26.20
FTSE techMARK 100 1,180.30 down 5.38
DJIA 10,649.92 down 55.72
Nasdaq composite 2,135.20 down 10.95
S&P 500 1,194.22 down 8.99
Brent Crude: February 43.39 usd vs. 41.43
Gold: 438.27 usd vs. 438.72

WEEKEND BREAKING NEWS
* IMPERIAL TOBACCO gears up for 8 bln stg Altadis acquisition - Sunday Telegraph
* PEARSON eyes 800 mln usd deal to take full control of Interactive Data Corp. - Sunday Times
* RBoS to seek outsider to replace chairman Sir George Mathewson - Independent
* Euronext to launch 1.4 bln stg counter-bid for LSE - Sunday Telegraph
* Euronext in approach for the LSE - Independent
* LSE s Clara Furse offered seat on Deutsche Boerse board - Daily Telegraph
* The European Securities Forum raises concerns about Deutsche Boerse s proposed bid for the LSE - Daily Mail
* Malcolm Glazer wants to table new 800 mln stg offer for MAN UTD - Sunday Telegraph
* CORUS alarmed over sale of 9 pct holding by Alisher Usmanov to another Russian oligarch, Oleg Deripashka, according to Moscow sources - Mail on Sunday
* Waitrose online poised to surf past SAINSBURY s website - FT
* Privately-owned Ineos, controlled by Jim Ratcliffe to bid 2 bln stg for Shell s Basell plastics business - Sunday Telegraph
* BOC wins 300 mln usd deal for Mexican gas plant - Sunday Times
* CORUS s partner, Duferco anxious over Teeside deal - FT
* VODAFONE contemplates 15 bln usd move on Sprint to help Verizon break-up Nextel merger - Observer
* BT GROUP could be forced to write-off billions from the value of its telecoms network as the result of an Ofcom investigation - Independent on Sunday
* ALLIED DOMECQ faces clash with biggest shareholders over controversial bonus scheme for executives - Mail on Sunday
* FSA to probe CAIRN ENERGY shares activity - Mail on Sunday
* BAE SYSTEMS insist Greece still committed to Euro fighter - FT
* BARCLAYS suffers derivatives case setback - Independent
* Walt Disney rules out a bid for ITV - Mail on Sunday
* Baugur bid for BIG FOOD GROUP just days from completion - FT
* Tom Hunter has emerged as a 13.4 pct shareholder in the consortium set to bid for BIG FOOD GROUP - Sunday Telegraph
* BRIXTON poised to announce a series of disposals amounting to nearly 400 mln stg - Sunday Times
* NOVAR hit by devastating EC plan to ban new cables over safety risk - Independent on Sunday
* MELROSE ready to buy NOVAR divisions from Honeywell - Sunday Telegraph
* JARVIS to secure 20 mln stg lifeline but must find further 200 mln stg - Independent on Sunday
* MYTRAVEL poised to complete an eleventh hour escape from collapse by clinching an 800 mln stg financial restructuring - Sunday Times
* Big Brother founder John de Mol ups stake in TV CORP - Independent
* Stelios starts Easy listening music download service - The Business
* Tony O Reilly buys into India s biggest newspaper title - Sunday Times
* Associated newspapers may drop Evening Standard cover price - The Business
* Aer Lingus set for partial flotation next year of between 25-75 pct of the Irish state-owned airline - The Business
* Lazard files for an 850 mln usd IPO - FT
* Lazard float to cost staff 200 mln usd a year in pay - Sunday Telegraph
* John Duffield s New Star to rise again for spring listing - Sunday Times
* Travel cash giant Travelex for sale at 1 bln stg - Mail on Sunday
* Interflora rebels in boardroom lockout - Mail on Sunday
* Property entrepreneur Jack Petchey makes three disposals for 57 mln stg - FT
* Jefferson Smurfit in talks over sale of Swedish business for 450 mln eur - FT
* Yukos investor seeks 100 bln stg damages - Sunday Telegraph
* SAP strengthens links with Microsoft and aims to increase market share - The Business
* Painkiller Celebrex s heart-risk fears hit Pfizer - FT
* Disney gives 1 bln eur lifeline to Paris park restructuring - Times
* European missile-maker MBDA is homing in on rival LFK - The Business
* Bucharest and Vienna stock exchanges to link-up - The Business
* Split-capital trusts FSA compensation deal jolted by Exeter Fund Manager s withdrawal from the agreement - FT
* FSA finds Robert Bonnier guilty of market abuse after a 2-year inquiry - Sunday Times
* Retailers hopes of a last-minute rush fading, as 73 pct of shoppers claim to have completed half - if not all - their Christmas shopping: YouGov/KPMG survey - Sunday Times
* British retailer could be facing the worst Christmas for 25 years, according to Seymour Pierce - The Business
* Call for an independent overseer for actuaries - Times
* Ofcom to kick off inquiry into BBC Radio 5 s FA Cup football rights - Times
* Cost of renewable power link up to 1 bln stg: Ofgem - FT
* 2004 a record year for private equity firms, with 21.5 bln stg of British companies sold or floated - Times
* Gordon Brown attacks Opec for instability of oil prices - Sunday Telegraph
* Opec cuts could push oil back above 50 usd a barrel mark: analysts - Observer
* Tax havens to face new UN code on corruption - Independent on Sunday
* G7 must now shrink to G5 to avert crisis : Morgan Stanley chief economist - Observer

SATURDAY PRESS COMMENT

FT
Lex Column: CAIRN ENERGY (CAIRN s share price still discounts some drilling success. But at least investors are more focused on the risks as well as the potential rewards); ASTRAZENECA/Pfizer (The drugs sector s valuation does not offer clear value yet. But there is a palpable sense that the malaise reflects rising risk aversion among consumers, regulators and judges); Yukos (the Houston ruling has not offered any real prospect of avoiding the expropriation of its assets) -- Lombard: Occupational Pensions (The Inland Revenue should lower the barriers The other shoe that has to drop is reform of the state pension and benefits system); Ocado (People who shop online care about time not money. You don t need an OFT inquiry to tell you that is why shopping online costs more) -- Weekend share watch: JOHN MENZIES (looks fair value as the restructuring benefits have largely been achieved); WYEVALE GARDEN CENTRES (the possibility that venture capitalists may be sniffing around seems the only rational explanation for the shares remaining so high); ERINACEOUS (Analyst consensus is Erinaceous shares are undervalued and have further to go. A stock to watch) -- Hedge Funds start to die back ; Benchmark MAN has torrid time in 2004

Daily Telegraph
The Kate Rankine Interview: Retail entrepreneur Tom Hunter

Guardian
Market Forces: HELICAL BAR (talk the firm has unearthed a further 40 mln stg of cash it can return to shareholders) -- Interview: Werner Seifert, chief executive of Deutsche Boerse

Times
Tempus: Fortune favours the brave but good years can mislead -- Stock Markets: MONEYBOX (US firm TRM increases its holding to 8.46 pct maintaining bid hopes)

Independent
Market Report: PHOTO-ME (US fund manager Capital Groups ups holding to 4.1 pct); DIPLOMA (talk of strong trading); AG BARR (whispers of booming trading); RICHMOND FOODS (rumours of record trading) -- Private Investor: Sean O Grady tempted to add MATRIX COMMUNICATIONS to his portfolio) -- Company Spotlight: PREMIER RESEARCH

Daily Mail
Market Report: LONDON MERCHANT SECURITIES (vague rumours of a bid approach) -- Investment Extra: NORTHERN PETROLEUM (the shares are strictly for those who want a punt on the drilling)

Daily Express
Market Report: WILSHAW (hopes of acquisition by cash shell)

SUNDAY PRESS COMMENT

Sunday Times Inside the City: GUS (When stocks start trading close to break-up values it is time to lock-in profits. Retail buy-outs may be all the rage by 11 bln stg is a lot of debt to raise, and it would be very hard to pull-off); AGGREGATE INDUSTRIES (CEO Peter Tom has built a rock solid business and he is not about to sell it, but when a bidder does arrive he will be negotiating from a position of strength) -- Market Mole: BUSINESS POST (The group s prospects look good but the shares are not cheap)
Sunday Telegraph Blue chip values: STAGECOACH (sell); ASTRAZENECA (worth holding long term, but otherwise sell) -- Look Who s Trading: BELLWAY (Three directors selling shares; investors should take some profits) -- Small Cap comment: WYEVALE GARDEN CENTRES (buy);. PHYTOPHARM (buy); MILLFIELD (signs confidence returning to the UK savings market); BEMA GOLD (Hang on in there) -- Breaking Views: Pearl funds (Hugh Osmond playing a game of Take Your Pik - pay-in-kind); UK Food & Drink Industry (The pressure for government action won t go away until we stop eating and drinking so much. That s why a bumper Christmas is the last thing the industry needs) -- Edmond Jackson s Taking Stock: Financial shares: small is beautiful ; RAB CAPITAL; IFX; TEATHER & GREENWOOD (A tight market in T&G means if you are interested in buying it might be better to wait for a quiet day)
The Business Benchmark: Fiat Auto (If the new Punto and Stilo models are not high-volume money makers then Fiat Auto will be in a hopeless position. Then, the wrangling with GM about the put option will simply be to decide who has to close it down); VODAFONE (Short of a mega-bid, which shareholders won t wear, there seems to be no way out of its American predicament) -- Inside the Market: Small Cap Investor - TITON (Buy); AIM Investor - STARVEST (Speculative buy)
Observer Throg Street: HBOS (CEO James Crosby won t want HBOS to become another Lloyds TSB - he will have to gamble. But to do so, HBOS s acquisition currency - its shares - needs an upwards re-rating. Buying back stock is a sure way to get the price up); VODAFONE (CEO Arun Sarin knows the US market well and has an awesome reputation as a negotiator.. Instinctively, one feels that investors should trust his judgement whichever way he jumps); Tobacco companies (ABN Amro research shows there is pressure for mergers between the majors themselves as most of the minnows have been mopped up. Expect fireworks in 2005)
Mail on Sunday Companies & Markets: MYTRAVEL (High Court showdown tomorrow); MAINTEL (AIM debut tomorrow) -- Midas: ZYTRONIC (A speculative buy) -- Midas Update: FIRST CHOICE (Take profits at 153 pence) -- Taking Stock: Wickes deal raises stakes in DIY sector (2005 could be the year of the corporate DIY deal)