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The Markets
by Proactive
Proactive UK has moved.
Coverage of London’s small caps continues on proactiveinvestors.com
Go to Proactive UK
The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK
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The Markets
by Proactive
Proactive UK has moved.
Small-cap coverage continues on .com
Go to Proactive UK

Investments and investor services

Aim stocks overshadowed as Chinese exports data give Footsie a lift

The sharp increase in Chinese exports has done wonders for big-cap miners but has had little impact on London's Aim-listed growth comanies

Blue-chips started the day on the front foot, with the FTSE 100 racing ahead despite an adverse reaction to results from Tesco PLC (LON:TSCO).

The FTSE 100 was up 78 points (1.3%) at 6,321, on the back of encouraging Chinese trade data.

China's exports in March rose 18.7%, which was the biggest gain in overseas shipments in more than a year, sending investors rushing to buy big-cap mining stocks such as Anglo American, Rio Tinto and BHP Billiton, plus Asia-focused banks such as Standard Chartered and HSBC.

China's economy has barely any impact on the fortune of most Aim-listed stocks, however, and the FTSE Aim 100 index struggled to keep pace with the Footsie, rising 15 points (0.4%) to 3,442, while the broader-based FTSE Aim All-Share was up three points (0.4%) at 729.

One small-cap miner that was enjoying a surge was Alecto Minerals PLC (LON:ALO) as it passed another milestone in Zambia.

Alecto revealed a positive feasibility study on its Matala gold project and a financing agreement to build and develop the site. The firm said it significantly de-risks the property and comes only five months after buying the mine.

The shares shot up 35% to 0.14p on the news.

In contrast, Anglo Asian Mining PLC (LON:AAZ) slipped a halfpenny to 5.625p as it reported a slow-down in gold production at its assets in Azerbaijan, due to weather and geological issues. On the plus side, the company is looking forward to ramping up output from its recently installed small flotation plant in the months ahead.

Away from the mining sector, computer game services provider Keywords Studios PLC (LON:KWS) was on the acquisition trail again, snapping up the Synthesis Group of companies in what is its largest acquisition to date.

The shares hardened 11.5p to 245p, as the said the merger creates an “undisputed leadership” position in the market for localisation and voice-over services for video games.

In other mergers & acquisitions news, US spices and herbs company McCormick has officially abandoned its pursuit of Premier Foods PLC (LON:PFD), sending the share price of the Mr Kipling's Cakes maker tumbling almost 26% to 41.75p.

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