Britain's leading share index snapped a three-day losing streak on Tuesday, lifted by heavyweight drug-makers GSK and AstraZeneca in the wake of bullish results from European rival Novartis.
Shares in AstraZeneca rose 2.8 percent, while GlaxoSmithKline added 1.9 percent - both recovering from a period of sustained weakness - after Novartis reported improving margins.
"It was a very oversold sector and it coincided with some very good news for the industry so we've seeing a sharp bounce today," said Jim Wood-Smith, equity analyst at brokers and investment managers Gerrard. "But you'd be brave to say it was anything more than a breather."
Elsewhere in the sector Shire Pharmaceuticals recovered from an earlier dip to gain 2.1 percent after it announced a fresh delay in the US approval of kidney drug Fosrenol. Shares in Shire had come under pressure recently on concerns that Fosrenol might be rejected.
Overall the sector provided just over half of the FTSE-100's gain, leaving the benchmark index up 18.3 points, or 0.4 percent, better at 4,339.4. The index had lost more than one percent in the last three sessions.
"Although volumes are low there's a growing sense that some people are looking at value," said Nigel Cobby, managing director of European equities at J.P. Morgan.
"But they're sticking to the highly visible defensives, like the drugs."
Medical devices firm Smith & Nephew led blue chip risers with a gain of more than three percent as it recovered some of the ground lost in the wake of weak numbers from US rival Stryker late last week.
Turnover was lighter than usual at just over two billion shares as some investors chose to stay on the sidelines ahead of Federal Reserve Chairman Alan Greenspan's semi-annual report on monetary policy to the Senate after the London market's close.
Premier Foods shares rose two percent above their issue price in a steady stock market debut. The owner of the maker of Branston Pickle and Smash mashed potatoes sold more shares as part of the flotation than had been expected after a reduction in the IPO sale price.
But insurer Royal & Sun Alliance bucked a largely firmer financial sector to fall 1.6 percent after Swiss reinsurer Converium warned investors that the need for higher reserves for its US casualty business would drive it into a deep second-quarter loss.
Britain's sixth-biggest bank Abbey National shed 2.3 percent as the prospect of an imminent bid continued to wane, dealers said.
Among mid-caps shares in project management firm Amec surged more than eight percent to 293 pence after The Guardian newspaper reported talk that some of its investors had been approached by a potential buyer to see if they would back a 400 pence-per-share offer. Amec declined to comment.
In contrast, shares in telecoms equipment firm CSR fell six percent after investors said they planned to sell about 10 percent of the company's shares.
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