FTSE 100 movers: Miners rally; Landsec hit by downgrade

(Sharecast News) - London's FTSE 100 was up 1.1% at 8,964.31 in afternoon trade on Thursday. Miners Anglo American, Glencore and Rio Tinto were among the top gainers, having fallen sharply on Wednesday after Trump threatened 50% tariffs on copper.

Advertising agency WPP gained as it appointed Microsoft executive Cindy Rose as chief executive to succeed Mark Read who will step down on 1 September. The shares fell sharply on Wednesday after WPP slashed annual profit forecasts.

Dan Coatsworth, investment analyst at AJ Bell, said: "Currently in the middle of an existential crisis, advertising agency WPP is still putting out the flames from yesterday's profit warning as it announces a new chief executive. Cindy Rose clearly likes a challenge given she's accepted the top job.

"Rose's background at Microsoft and Disney means she is well versed with the fast-moving world of technology and consumer trends, something that is vital to make WPP a success. Clients rely on WPP to come up with the right ways to attract and retain customers, and the agency needs to shine in this regard if it still wants to exist in 10 years' time.

"WPP faces a structural challenge in the form of AI being able to fulfil many client needs. It needs to excel in the areas where AI doesn't shine, while also embracing the technology where possible to help run a more efficient business.

"Investors should be encouraged by WPP hiring an outsider. There was always the danger of not being able to find the right candidate brave enough to lead a turnaround; and having to promote from within just to have someone behind the wheel. Fresh thinking is of paramount importance and Rose needs to have a bag full of ideas as soon as she takes office as there is a massive recovery job at hand."

Land Securities fell as Jefferies downgraded the shares to 'underperform' from 'hold' as it took a look at the real estate sector. The bank, which applied the same downgrade to British Land, said the real estate (RE) cycle is flattening and the office sector faltering into a wave of debt maturities.

"REITs need to rent more and borrow less to cut ND/EBITDA ratios, with RE lending via debt funds a potential risk to balance sheet stability," Jefferies said.

Water and sewage firm Severn Trent edged lower even as it reiterated its full-year outlook, underpinned by ongoing work to find and fix leaks.

FTSE 100 - Risers

Anglo American (AAL) 2,272.00p 4.70% Glencore (GLEN) 309.25p 3.71% Rio Tinto (RIO) 4,425.00p 3.47% Standard Chartered (STAN) 1,290.50p 2.58% AstraZeneca (AZN) 10,618.00p 2.47% Pershing Square Holdings Ltd NPV (PSH) 4,210.00p 2.43% Ashtead Group (AHT) 4,846.00p 2.24% WPP (WPP) 437.70p 2.12% Weir Group (WEIR) 2,596.00p 2.04% British American Tobacco (BATS) 3,672.00p 2.03%

FTSE 100 - Fallers

Land Securities Group (LAND) 582.50p -2.18% SSE (SSE) 1,847.50p -2.04% Hiscox Limited (DI) (HSX) 1,228.00p -1.68% SEGRO (SGRO) 659.00p -1.41% Centrica (CNA) 155.45p -1.08% Admiral Group (ADM) 3,246.00p -1.04% National Grid (NG.) 1,023.50p -0.97% Severn Trent (SVT) 2,636.00p -0.94% Kingfisher (KGF) 281.50p -0.78% LondonMetric Property (LMP) 193.40p -0.57%8%