Updates from AstraZeneca, Panmure Gordon and Game Digital
The FTSE 100 edged up more than 48 points on Tuesday ending the trading day at 6,083.1. Miners took the lion's share of momentum with AngloAmerican and Antofagasta up 5.7% and 4.6%, to 296.50p and 445p respectively. There were also 3% climbs for BGGroup and Shell, to 929.70p and 1486p. M&S shares were knocked back though by 1% to 442p, not helped by Nomura predicting a 5.5% fall in general merchandise sales and slashing profit forecasts for the Christmas quarter.
US shares were positive with the Dow surging almost 1% to 17,417, up 165 points aided by a more settled crude oil price. However for the year the Dow is down by more than 400 points.
We start with news that the US Food and Drug Administration (FDA) has approved AstraZeneca's Zurampic tablets for the treatment of hyperuricemia - associated with gout. The FDA approval is based on data from three Phase III studies.
"A new approach to treating gout," says chief exec of the Gout and Uric Acid Education Society, Dr Lawrence Edwards, "is long overdue given there has been limited therapy innovation over the last 50 years. Combination therapy with Zurampic is an important addition to the medicines available.
The drug remains under regulatory review in the European Union and other territories. The FDA is also demanding a study to evaluate the renal and cardiovascular safety of Zurampic.
Things aren't so happy for video games retailer Game Digital for the 21 weeks to 19 December. Total Group Gross Transaction Value is down 6.7% to £466.8m, largely as a result the reduction in low margin console sales, down 20.3%.
Given poor sales since the start of school Christmas holidays Game Digital expects adjusted earnings for the 26 weeks to 23 January will be around £30m.
"The switch," says chief exec Martyn Gibbs, "over from the older gaming formats to PlayStation 4 and Xbox One software has impacted profitability across the UK market."
Lastly, stockbroker Panmure Gordon says tough market conditions have prevailed in the second half of the year resulting in an expected loss, after tax, from normal operations of around £4m-£4.5m.
However the pipeline of transactions scheduled to take place in 2016 is building to an encouraging level, subject to market conditions, and expected, Panmure claims, to generate improved revenues.
"Over £500m," says chief exec Phillip Wale, "has been raised for clients in 2015 and our strategy remains focused on advising corporate clients in the small to midcap market."
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