| The Markets The outlook for Spain continued to darken as the country's 10 year bond yield rose to a record level of 6.81%, with Italy not far behind at 6.28%. Many have raised concerns that such high levels of interest rates cannot be sustained, lending gravitas to the possibility that the "too big to fail" will indeed fall. Back in the UK, there was more bad news as Manufacturing Production figures for April came in 0.3% lower year-on-year, according to the Office for National Statistics, compared to an expected rise of 0.4%. The news could mean that the UK will stay in "technical recession" instead of making a quick recovery as was previously hoped. At the London close the Dow Jones was up by 107.21 points at 12,518.44 and the Nasdaq was up by 21.45 points at 2,538.63.
In London the FTSE 100 rose by 41.37 points to 5,473.74; the FTSE 250 finished 97.08 points behind at 10,561.16; the FTSE All-Share gained 11.77 points to 2,831.54; and the FTSE AIM Index declined by 3.47 points to 680.20. 
Broker Notes Panmure Gordon reiterated its "sell" recommendation for Carnival (CCL) with a target price of 1,443p, although it upgraded its forecasts in light of lower fuel prices, which it now forecasts to average around 700 dollars (451.7 pounds) per metric ton in the 2012 financial year. However, while the holiday cruise company's Costa division reported a 28% rise in booking volumes, the broker attributed this to significant price discounts which it believes will impact margins. Additionally, on Panmure's earnings forecast, the shares trade on a prospective multiple of 17.3 times for 2012, a significant premium to the market. Carnival shares grew by 32p to 2,153p. N+1 Brewin retained its "buy" rating for VP (VP.) with a 335p target price. The engineering equipment rental company beat the broker's third quarter earnings forecasts, with Brewin noting that trading remained strong in the final quarter. The broker added that the firm retained its net debt position of 40.4 million pounds, despite the group increasing investment in its fleet by 33%. As a result, Brewin raised its 2013 pre-tax profit forecast by 7% to 16.8 million pounds. The shares inched down by 2.25p to 245.75p. ADVERTISEMENT Latest small cap tip out next week on WatsHot.com
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Just GBP73 for a year's membership by direct debit (GBP87.60 by card/cheque/Paypal) Click here to join WatsHot.com now Canaccord Genuity maintained its "buy" recommendation for Consort Medical (CSRT) with a 744p target price. The broker expects the medical technology company to report revenue growth of 7.3% to 136.1 million pounds for the year to April 2012. Canaccord added that the transformation of the group's King Systems division is scheduled for completion in the coming months, while noting that the inhaler market remained strong. The broker expects Consort to continue diversifying into higher value markets, which should lead to faster growth and improved profitability. The shares tumbled by 10p to 585p. Blue-Chips Lloyds Banking Group (LLOY) has agreed to sell its Japanese remittance business, which reported assets of around 1.5 million pounds as at 31st December 2011. The decision is part of the bank's goal of reducing its global presence and is not expected to have a material impact on the firm's accounts. Following on from the sale, Lloyds will look to run down its remaining fixed term deposit book in Japan. The shares climbed by 0.66p to 29.16p. Supermarket chain J Sainsbury (SBRY) has bought a 64% stake online e-book retailer Anobii from HMV Group (HMV), for a nominal cost of one pound. The move is in-line with the group's strategy of developing its presence in the digital entertainment market, started by the launch of Sainsbury's Entertainment in November 2010. The target has over 600,000 users and a library of some 60,000 e-books. Other investors in Anobii include publishers HarperCollins and Penguin. Sainsbury shares inched up by 2.4p to 291.1p. GlaxoSmithKline (GSK) announced that it will acquire the worldwide licence to chronic hand eczema treatment Toctino for a total consideration of up to 196 million pounds. Of this, 50 million pounds is dependent on approval from the Food and Drug Authority for sale in the US and the subsequent achievement of performance benchmarks. The treatment is currently sold in 14 countries, with approval granted in a further 15 and generated revenues of 22 million pounds in the 2011 calendar year. The shares crept up by 12p to 1,451.5p. Mid-Caps High end technology developer Oxford Instruments (OXIG) reported adjusted pre-tax profit growth of 60.3% for the year ended 31st March 2012, to 42 million pounds, on revenues growth of 28.6% to 337.3 million pounds. The firm's performance was boosted by the acquisitions of Omicron Nanotechnology, Omniprobe and Platinum Medical Imaging, with 44% of revenue coming from products launched or acquired in the last three years. It noted good progress towards its "14 Cubed" plan of 14% compound annual growth of revenue and return on sales by 2014 and that its markets have remained strong in the new financial year. Oxford Instruments shares fell by 59p to 1,149p. RPC Group (RPC) also enjoyed a strong performance in the 12 months ended 31st March 2012, with pre-tax profits rising by 72.3% to 59.6 million pounds, on record revenues of 1.13 billion pounds. The plastic packaging manufacturer said that its Superfos injection molded plastic acquisition was integrating well and had already achieved 10 million pounds of annual synergies, with a further 5 million pounds expected in 2013. Panmure Gordon noted that with the exception of the top line, the results beat its forecasts, and noted that net debt was reduced by 10.8 million pounds to 167.9 million pounds. The shares sank by 31.6p to 365.4p. Small Caps, AIM and PLUS A trial on Tristel's (TSTL) disinfectant wipes, at Northwich Park Hospital, demonstrated that they were 100% effective at cleaning bacteria and fungi from nasendoscopes. The product can also be used on ultrasound probes and have already been approved for use in a number of countries, including UK, Germany and Hong Kong, with approval from the Chinese authorities expected by the end of the year. Tristel shares advanced by 0.5p to 29p. PLUS-quoted Anturion* (ATNP) reported that it had signed a deal with Norwegian sensor manufacturer Sensonor SA for the development of a thermal imaging sensor for use in the automotive industry. The project will cost 3 million dollars (1.9 million pounds) and is expected to be completed by the first quarter of 2013. Under the terms of the deal, Anturion will have exclusive worldwide rights to supply the IR Sensor for 15 year, as well as all subsequent spin-off products. Separately, the firm noted that it had secured additional funding of 1.3 million pounds through an equity placing with Jexpress International. The shares jumped by 1.12p to 14.5p. Fellow sensor developer Transense Technologies (TRT) said that it has entered into a distribution agreement with Malaysian power protection and control systems provider Simpro Engineering, for the sale of its electrical switchgear temperature monitoring system in the country. The deal is in-line with the group's strategy of expanding in the developing Southeast Asian market, with the introduction of a complementary product to Simpro's existing range. Transense shares soared by 1p to 11.25p. Nostra Terra Oil and Gas Company (NTOG) announced that the first well at the Warrior Prospect in the US, in which it has a 10% holding, has successfully began production, with an initial flow rate of around 50 barrels of oil per day. With the well still extracting frac fluid, the final potential flow rate is yet to be determined. Meanwhile, the hydrocarbons explorer noted that two wells had been drilled at the Bale Creek site, with results scheduled to be released shortly. However, this was apparently not good enough for investors, as the shares fell by 0.12p to 0.54p. Cancer research specialist Care Capital Group (CARE) and diagnostics firm Varigen Technologies will work together to develop a range of treatments for malignant diseases, based on genetic testing. Care Capital will be entitled to 70% of all revenue from the venture, which will initially focus exclusively on women's health. Care Capital shares swelled by 0.03p to 1p. May Gurney Integrated Services (MAYG) reported adjusted pre-tax profits of 28.4 million pounds for the year ended 31st March 2012, 17% higher than 2011's performance, with the acquisition of TransLinc in November 2011 contributing 2.1 million pounds to EBITA and giving it access to the fleet and passenger services market. The construction company added its order book remained strong at 1.5 billion pounds, having won 400 million pounds of work during the year, and that it had a further 1.1 billion pounds worth of business in potential contract extensions. May Gurney shares leapt by 19p to 245p. * Anturion is a corporate client of Rivington Street Holdings, the ultaimte owner of UK-Analyst. | 
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