- FTSE indices entrenched their losses as European markets reacted strongly to the possibility of a 'Grexit' after the collapse of talks between Greece and its creditors. House builders, banks and insurers tumbled. Vedanta (VED) and Thomas Cook (TCG) are the big-name stories of the day so far.

To noon, FTSE 100 was down 48.73 points, or 0.72%, to 6736.16. FTSE 250 dived 173.5, or 0.97%, to 17,775.6. The DAX and CAC 40 were down more than 1% against a backcloth of plunging Greece stocks and bonds on default fears. At 11.50am, WTI crude was down 1.25% to $59.21/bbl. Brent was off 1.72% to $62.77/bbl.

Standard Chartered (STAN) led blue chips and banks down with a 3.01% slide to 1032p, with RBS (RBS) off 1.57% to 351.8p. House builders were sold lower behind Taylor Wimpey (TW.), off 1.91% to 185.2p. Barratt Developments (BDEV) and Persimmon (PSN) followed. Several insurers eased in the wake of Old Mutual (OML), off 1.52% to 204.75p.

Easyjet (EZJ), down 2.21% to 1551p, and IAG (IAG), down 1.5% to 510.25p, were notable losers, too. Also in the travel sphere, Thomas Cook (TCG), up 0.68% to 139.85p, and Fosun International are to establish a JV to develop domestic, inbound and outbound tourism activities for the China market.

Also in the news was Vedanta (VED), down 0.04% to 594p, on plans to merge with Cairn India. Rolls-Royce (RR.) lost 1.39% to 956.5p as the market's downward momentum offset news the firm has been awarded services contracts worth up to $224m. Just eight blue chips rose, Land Securities (LAND), up 0.67% to 1278.5p, and Tesco (TSCO), up 0.21% to 214.15p, among them.


Management Resource Solutions (MRS), down 23.08% to 10p, said that D&M Group had advised that it 'no longer wished to pursue negotiations and accordingly the proposed acquisition will not be proceeding.'

Sabien Technology (SNT) crashed 15% to 8.5p after another profit warning. Typically unpredictable orders have shifted to the right, meaning lower revenues and a plunge to a £0.6m loss for the year to end-June.

Central Rand Gold (CRND) slumped 10.17% to 13.25p as its planned sale of its Netherlands Antilles unit was pushed back. Meantime, Altona Energy (ANR), has appointed Nicholas Lyth as a non-executive director with immediate effect. It hoped to update the market on amending the JV agreement for the development of the Arkaringa coal deposit. ANR's shares rose 28.89% to 0.58p.

Eclectic Bar (BAR) soared 28.87% to 62.5p on news leisure entrepreneur Luke Johnson has been named chairman. The group also warned trading in the last few months has seen 'competitive pressures' that were likely to dent its FY results.


Euro zone's trade balance for April came in at 24.9bn euros, against an expected 22.5bn euros.

UK house asking prices spiked 3.0% on the month in June, Rightmove said. Average price was £294,351. Prices eased 0.1% in May. On an annual basis, prices were up 4.5%, from 2.5% in May.


Majestic Wine (MJW) shed 4.63% to 419.63p on poor FY results and news short-term profits would be suppressed by £3m of investment to reinvigorate the business. Latchways (LTC), down 2.64% to 830p, has posted a FY pretax profit of £4.9m, from £6.8m but in line with guidance. Total dividend would be 39.60p a share, unchanged.

River & Mercantile (RIV) has landed a mandate to manage a £700m chunk of Royal Mail's (RMG) pension scheme. The deal will see it manage options for the FTSE 100 firm as part of a 'structured equities' strategy. It gained 4.35% to 219.13p.

President Energy (PPC), down 3.17% to 15.25p, has successfully completed the four-well work-over programme on the Puesto Guardian Concession on time and on budget. These were the first operations carried out since President acquired Operatorship in H2 2014.

Mariana Resources (MARL), up 3.45% to 2.25p, said an updated preliminary 3D mineralisation model for the Hot Maden Project, Turkey, indicates the gold-copper mineralisation currently remains open both up and down dip of HTD 5 &13, 10&15 and 11&12 as well as importantly to the south of HTD-11 &13. It also shows the continuity of the high grade gold and copper zone.

Redcentric (RCN) added 3.48% to 163.5p as it unveiled FY results of a landmark year. New funding power puts further acquisitions very much on the cards, although investors might well begin to see this as a takeover target itself, within this fast consolidating market.

RM2 (RM2) fell 3.26% to 66.75p after a year of 'very limited production' resulted in a pretax loss of $47m. It has confirmed its second major customer win this year and said the deployment of pallets is expected to expand significantly in 2015 and 2016.

Other shares in the news included Dairy Crest (DCG), Plexus (POS), Northern Bear (NTBR), Falkland Oil & Gas (FOGL), NMC Health (NMC), KEFI Minerals (KEFI), Galasys (GLS), Unite Students (UTG), Helical Bar (HLCL), UK Oil & Gas Investments (UKOG), Argos Resources (ARG) and John Laing Group (JLG).

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