London open: Stocks rise as investors cheer lockdown easing

London stocks rose in early trade on Monday as investors welcomed lockdown easing.

At 0830 BST, the FTSE 100 was up 0.9% at 5,989.87, after Prime Minister Boris Johnson outlined plans on Sunday night for a gradual easing of lockdown restrictions.

In what was criticised by many for being a vague and confused statement, the PM said those who cannot work from home were being "actively encouraged" to go back to work. However, public transport was to be avoided if possible.

In addition, from Wednesday, there will be no restrictions on the amount of time people can spend exercising outdoors. Driving further afield for walks or days out will be permitted, along with sunbathing and playing sports with members of your household. Children could start going back to primary school from 1 June, Johnson said.

Spreadex analyst Connor Campbell said: "Boris Johnson unveiled an unclear, and arguably irresponsible, set of measures on Sunday evening, pushing the country’s most economically vulnerable back to work despite the government’s own made-up warning system sitting at a 4 out of 5. This while allowing people to sit 2 metres apart from strangers in a park without giving any word on when they can see loved ones in different households.

"Given the market’s utter lack of interest in the recent job losses in the US, it shouldn’t be a surprise that a purely positive view was taken of what was announced by Johnson in his faux-Churchillian manner on Sunday, allowing the FTSE to bound out of the gates."

There wasn’t much in the way of corporate news.

Diploma gained ground even as it pulled its interim dividend and said April revenue had slumped by more than a quarter amid the coronavirus crisis. The company said underlying revenues fell 28% last month as it reported a 4% rise in interim pre-tax profits to £41.6m.

On the downside, budget airline easyJet was the worst performer on the top-flight index, closely followed by British Airways and Iberia parent IAG, amid news the UK will impose a 14-day quarantine on travellers arriving in the country, likely from June.

Market Movers

FTSE 100 (UKX) 5,989.87 0.91%
FTSE 250 (MCX) 16,414.07 1.02%
techMARK (TASX) 3,633.84 0.44%

FTSE 100 - Risers

ITV (ITV) 75.78p 3.36%
Glencore (GLEN) 152.60p 2.98%
BT Group (BT.A) 108.05p 2.95%
Johnson Matthey (JMAT) 2,010.00p 2.81%
Ocado Group (OCDO) 1,915.00p 2.74%
Barclays (BARC) 108.28p 2.71%
Mondi (MNDI) 1,397.50p 2.68%
Prudential (PRU) 1,150.50p 2.45%
InterContinental Hotels Group (IHG) 3,680.00p 2.39%
Burberry Group (BRBY) 1,416.00p 2.24%

FTSE 100 - Fallers

easyJet (EZJ) 501.20p -5.68%
Centrica (CNA) 38.01p -4.76%
Meggitt (MGGT) 248.80p -3.45%
International Consolidated Airlines Group SA (CDI) (IAG) 183.95p -3.41%
Rolls-Royce Holdings (RR.) 280.70p -2.23%
Intermediate Capital Group (ICP) 1,135.00p -1.90%
Smith & Nephew (SN.) 1,631.50p -1.57%
Evraz (EVR) 268.10p -0.70%
RSA Insurance Group (RSA) 391.00p -0.66%
Aveva Group (AVV) 3,890.00p -0.51%

FTSE 250 - Risers

Virgin Money UK (VMUK) 81.28p 7.66%
Airtel Africa (AAF) 40.60p 6.70%
Morgan Sindall Group (MGNS) 1,364.00p 6.56%
Rank Group (RNK) 151.60p 6.01%
Fisher (James) & Sons (FSJ) 1,266.00p 5.85%
Cineworld Group (CINE) 63.56p 5.69%
Petropavlovsk (POG) 26.75p 4.29%
Frasers Group (FRAS) 262.00p 4.05%
Oxford Instruments (OXIG) 1,256.00p 3.97%
TUI AG Reg Shs (DI) (TUI) 275.40p 3.92%

FTSE 250 - Fallers

Hammerson (HMSO) 50.50p -5.61%
G4S (GFS) 93.02p -4.06%
Micro Focus International (MCRO) 460.10p -3.52%
Safestore Holdings (SAFE) 668.50p -2.62%
OneSavings Bank (OSB) 251.60p -1.72%
Herald Investment Trust (HRI) 1,342.00p -1.61%
Investec (INVP) 157.10p -1.35%
Avast (AVST) 468.60p -1.35%
Wizz Air Holdings (WIZZ) 2,654.00p -1.34%
Renishaw (RSW) 3,676.00p -0.97%