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Market movers: Alecto, CML, Getech, IMPs, Magnolia Petroleum, Oxford Instruments, Ted Baker, ValiRx

Published: 04:12 10 Jun 2014 EDT

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UK stocks have eased back ahead of industrial production data due out later today.

The FTSE 100 is down 23 points (0.3%) at 6,852, thus wiping out all of yesterday’s gains. Almost nine-out-of-ten of the index’s constituents are in the red, but with corporate news flow from the heavy hitters almost non-existent this morning, none of the losses are particularly heavy.

Tobacco peddler Imperial Tobacco (LON:IMT) defies the trend, rising 0.5%, after it announced the intention to spin off its Logista business, which is the leading integrated tobacco distribution and logistics company in Southern Europe.

There is a bit more to chew on among the mid-caps, where Oxford Instruments (LON:OXIG) is up 3.1% after well-received full-year results but fashion firm Ted Baker (LON:TED) is barely changed after its trading update.

As usual, the bulk of the big moves are among the tiddlers.

Alecto Minerals (LON:ALO), up 18%, is in pole position after an exploration update on the Massakama target at its wholly owned Kossanto gold project in western Mali.

Chief executive Mark Jones said he was “extremely pleased” with the high-grade exploration results. Reverse circulation drilling yielded 2 metres at 13.54 grams per tonne and 1 metre at 12.8 grams as well wider intersections at lower grades such as 23 metres at 1.35 grams and 28 metres at 0.67 grams.

Yesterday was a good day for oil & gas companies, and Max Petroleum (LON:MAXP) keeps the good vibes going today with news of a well success at the Zhana Makat field in Kazakhstan.

Shares are up 13% after the well reached a total vertical depth of 997 metres and encountered hydrocarbons as expected.

Magnolia Petroleum (LON:MAGP) is another winner, up 6.3%, after an upbeat AGM statement.

Away from the resources sector, drug discovery company ValiRx (LON:VAL) is wanted after it said it has applied to the UK Medicines Agency for permission to carry out a phase I/II trial on VAL201, its lead cancer treatment.

It’s not all beer and skittles on the company updates front, however, with CML Microsystems (LON:CML) losing one-fifth of its value after it warned of headwinds that will have an impact on trading in the current year.

Chris Gurry, managing director of the semiconductor products firm, said: “In reporting on a year when we have delivered record profits, it is disappointing to now convey short-term caution but, beyond this year, the board is confident of delivering a return to revenue growth."

Also getting a kicking is Getech Group (LON:GTC), the geoscience business, after it delivered a profit warning. Shares are off 12%.

Australian Strategic Materials signs US$600 million LoI

Rowena Smith, CEO and managing director of Australian Strategic Materials Ltd (ASX:ASM, OTC:ASMMF), joins Jonathan Jackson in the Proactive studio to discuss the company’ s Dubbo Project, in Central West New South Wales. This project aims to extract and process critical minerals and rare earth...

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