Market Report: Evraz echoes out-of-form Chelsea as Roman suffers

His Chelsea team has not exactly been at the top of its game recently, and yesterday another of Roman Abramovich's investments found itself under pressure. Evraz – the steelmaker which is part-owned by the Russian oligarch – was on the slide amid fears a lack of short-term demand for the metal will blow the whistle on its recent rally.

The group's share price has powered up around 25 per cent since becoming one of the first Russian firms to join the Footsie last November, but last night it closed in the red after Austria's Raiffeisen downgraded its rating to "hold".

Citing a rise in steel inventory levels, the broker's analyst, Iryna Trygub-Kainz, warned that the recent uptick in the metal's price had already been "priced in by the market" and – with another major increase not expected until the spring – Evraz "may have exhausted its potential to continue outperforming the stock market".

In response, the company was knocked back to a low of 428p during trading, although with Ms Trygub-Kainz saying she remained positive on its "development potential" long-term, Evraz ended up closing just 3p worse off at 442p.

In early trading the heavyweight miners attempted to rally, but many of them were unable to hold on to their gains. Kazakhmys was the best of the bunch, creeping up 5p to 1,165p, while BHP Billiton retreated 50p to 2,130p after announcing its first-half profits had dropped 7 per cent to $9.94bn (£6.27bn).

Still, following the recent deal to merge Glencore (down 8.8p to 434.45p) and Xstrata (down 2p to 1,198p), BHP boss Marius Kloppers did raise hopes of further M&A in the sector by saying there was "some capacity" on its balance sheet.

Meanwhile, market gossips were reviving vague speculation that Kenmare Resources could be a possible takeover target, with Rio Tinto (up 4p to 3,873.5p) one of the names put forward as a possible bidder, although – with City voices unimpressed by the rumours – the mid-tier Irish digger only ticked up 0.75p to 50.25p.

It was the same old story on the FTSE 100, as – without any news from Greece by the end of trading – the benchmark index eased down 14.33 points to 5,875.93, its third straight day of falls.

"No-one is interested until Greece is sorted," said one trader, summing up the mood after another quiet session in the Square Mile.

Despite Citigroup saying that analysis of other financial crises showed the bank's rally would continue, only Lloyds ended up rising. It was lifted 0.52p to 35.79p while Barclays was pegged back 3.2p to 233.6p ahead of its full-year results tomorrow.

The news that one of its significant shareholders is getting rid of its whole stake left Centrica 8.2p worse off at 294.5p. Malaysia's Petroliam Nasional Berhad is selling almost 200m shares in the British Gas-owner, which could net it as much as £594m.

On the FTSE 250, takeover rumours continued to push Inmarsat higher in early trading as the satellite telecoms firm advanced to a high of nearly 480p. Revived speculation earlier in the week suggested it may be in line for an approach, with US giant GE, private equity and Airbus-owner EADS all cited as possible bidders.

Reports that Inmarsat had not received any approaches took some of the shine off the move, but with Bank of America Merrill Lynch saying a move "could... make sense", its shares still finished 18p better off at 455.2p.

Misys was knocked back 8.46 per cent to 298.5p after Panmure Gordon cut its advice to "hold" following the software firm's announcement late on Tuesday that it had agreed several key terms with rival Temenos over their proposed merger.

It meant hopes that a rival aggressor could emerge with a cash offer looked rather optimistic, with the broker's analyst, George O'Connor, saying that the merger will now occur "on an accelerated basis... making a counterbid less likely".

SuperGroup was the clear loser on the mid-tier index, slumping a huge 17.21 per cent to 579.5p, after the fashion chain revealed a slowdown in sales growth over January.

TV production company DCD Media – whose shows include Bridezillas – was soaring as fellow AIM stock Timeweave (1.88p higher at 25.12p) announced it was snapping up a large portion of its convertible debt. The purchase of over £3m-worth of convertible loan notes saw DCD's share more than double, flying up by 126.28 per cent to 7.75p. It also prompted the group to release a statement saying it would meet with the horse racing broadcaster to "understand better [its] rationale and intentions in making this investment".

Bango jumped 39.59 per cent to 137.5p after the payment services firm announced it had signed a deal with Facebook, which comes in the wake of an agreement with Amazon reached at the end of last year.

Suggested Topics
Arts and Entertainment
Benedict Cumberbatch has refused to deny his involvement in the upcoming new Star Wars film
filmBenedict Cumberbatch reignites those Star Wars rumours
News
Russell Brand has written a book of political analysis called Revolution
peopleFilm star says he is 'not interested in making money anymore'
News
newsMcKamey Manor says 'there is no escape until the tour is completed'
News
people

Britain First criticised for using actress's memory to draw attention to their 'hate-filled home page'

PROMOTED VIDEO
Arts and Entertainment
JK Rowling is releasing a new Harry Potter story about Dolores Umbridge
booksChristmas comes early for wizard fans
News
news

Emergency call 'started off dumb, but got pretty serious'

Arts and Entertainment
On The Apprentice, “serious” left the room many moons ago and yet still we watch
tv

Greatest mystery about the hit BBC1 show is how it continues to be made at all, writes Grace Dent

News
i100
Arts and Entertainment
filmsOculus Rift offers breathtakingly realistic simulation of zero gravity
News
news
News
ebooksAn unforgettable anthology of contemporary reportage
News
peopleCampaign 'to help protect young people across the world'
Sport
footballAccording to revelations from Sergio Aguero's new biography
Life and Style
tech

News
people'When I see people who look totally different, it brings me back to that time in my life'
Arts and Entertainment
A scene from David Ayer's 'Fury'
film

"History is violent," says the US Army tank commander Don "Wardaddy" Collier

Latest stories from i100
Have you tried new the Independent Digital Edition apps?
Independent Dating
and  

By clicking 'Search' you
are agreeing to our
Terms of Use.

iJobs Job Widget
iJobs Money & Business

Compensation and Benefits Manager - Brentwood - Circa £60,000

£60000 per annum: Ashdown Group: Compensation and Benefits Manager - Compensat...

Data Analyst/Planning and Performance – Surrey – Up to £35k

£30000 - £35000 Per Annum plus excellent benefits: Clearwater People Solutions...

IT Systems Business Analyst - Watford - £28k + bonus + benefits

£24000 - £28000 per annum + bonus & benefits: Ashdown Group: IT Business Syste...

Markit EDM (CADIS) Developer

£50000 - £90000 per annum + benefits: Ampersand Consulting LLP: Markit EDM (CA...

Day In a Page

Wilko Johnson, now the bad news: musician splits with manager after police investigate assault claims

Wilko Johnson, now the bad news

Former Dr Feelgood splits with manager after police investigate assault claims
Mark Udall: The Democrat Senator with a fight on his hands ahead of the US midterm elections

Mark Udall: The Democrat Senator with a fight on his hands

The Senator for Colorado is for gay rights, for abortion rights – and in the Republicans’ sights as they threaten to take control of the Senate next month
New discoveries show more contact between far-flung prehistoric humans than had been thought

New discoveries show more contact between far-flung prehistoric humans than had been thought

Evidence found of contact between Easter Islanders and South America
Cerys Matthews reveals how her uncle taped 150 interviews for a biography of Dylan Thomas

Cerys Matthews on Dylan Thomas

The singer reveals how her uncle taped 150 interviews for a biography of the famous Welsh poet
DIY is not fun and we've finally realised this as a nation

Homebase closures: 'DIY is not fun'

Homebase has announced the closure of one in four of its stores. Nick Harding, who never did know his awl from his elbow, is glad to see the back of DIY
The Battle of the Five Armies: Air New Zealand releases new Hobbit-inspired in-flight video

Air New Zealand's wizard in-flight video

The airline has released a new Hobbit-inspired clip dubbed "The most epic safety video ever made"
Pumpkin spice is the flavour of the month - but can you stomach the sweetness?

Pumpkin spice is the flavour of the month

The combination of cinnamon, clove, nutmeg (and no actual pumpkin), now flavours everything from lattes to cream cheese in the US
11 best sonic skincare brushes

11 best sonic skincare brushes

Forget the flannel - take skincare to the next level by using your favourite cleanser with a sonic facial brush
Paul Scholes column: I'm not worried about Manchester United's defence - Chelsea test can be the making of Phil Jones and Marcos Rojo

Paul Scholes column

I'm not worried about Manchester United's defence - Chelsea test can be the making of Jones and Rojo
Frank Warren: Boxing has its problems but in all my time I've never seen a crooked fight

Frank Warren: Boxing has its problems but in all my time I've never seen a crooked fight

While other sports are stalked by corruption, we are an easy target for the critics
Jamie Roberts exclusive interview: 'I'm a man of my word – I'll stay in Paris'

Jamie Roberts: 'I'm a man of my word – I'll stay in Paris'

Wales centre says he’s not coming home but is looking to establish himself at Racing Métro
How could three tourists have been battered within an inch of their lives by a burglar in a plush London hotel?

A crime that reveals London's dark heart

How could three tourists have been battered within an inch of their lives by a burglar in a plush London hotel?
Meet 'Porridge' and 'Vampire': Chinese state TV is offering advice for citizens picking a Western moniker

Lost in translation: Western monikers

Chinese state TV is offering advice for citizens picking a Western moniker. Simon Usborne, who met a 'Porridge' and a 'Vampire' while in China, can see the problem
Handy hacks that make life easier: New book reveals how to rid your inbox of spam, protect your passwords and amplify your iPhone

Handy hacks that make life easier

New book reveals how to rid your email inbox of spam, protect your passwords and amplify your iPhone with a loo-roll
KidZania lets children try their hands at being a firefighter, doctor or factory worker for the day

KidZania: It's a small world

The new 'educational entertainment experience' in London's Shepherd's Bush will allow children to try out the jobs that are usually undertaken by adults, including firefighter, doctor or factory worker