n Lloyds TSB was the second-best performing stock on the FT-SE 100, gaining 5.5 per cent. The bank, which owns the building society Cheltenham & Gloucester, gained on optimism about the outlook for the housing market. The start of trading in the Alliance & Leicester shares next week has focused attention on other stocks with exposure to the mortgage market. The bank is considered attractive for its low-risk, high-quality loan book and constrained costs.
n The worst-performing stock last week was LucasVarity, which fell 3.5 per cent. The company disappointed with its first set of results since it was formed from a merger last year, as it indicated that growth was sluggish in its auto parts business. The company's new dividend policy, which included plans for a 3 per cent buyback of its own stock, was more generous than expected but was insufficient to stem selling. The buyback began on Thursday. Copyright: IOS & BloombergReuse content