| The Markets Europe's benchmark indices raced ahead on Monday as fears over the financial stability of Spain and Italy were eased by speculation that European policy makers would move to lower borrowing costs. This week the European Central Bank will make its latest decision on interest rates and there is wide speculation that the bank will announce its intention to restart its bond-buying programme. There was some further news to be bullish about closer to home as US rating agency Standard and Poor's said the UK will keep its triple-A credit rating. Despite reporting contractions in the last quarter of 2011 and first two quarters of 2012, the agency expects the British economy to pick up in the second half of the year, commenting "in our view, monetary flexibility remains a key credit strength owing to the British pound sterling's role as a global reserve currency." At the London close the Dow Jones was down by 18.70 points at 13,056.96 and the Nasdaq was down by 7.44 points at 2,669.59.
In London the FTSE 100 rose by 66.42 points to 5,693.63; the FTSE 250 finished 59.90 points ahead at 11,238.91; the FTSE All-Share gained 31.83 points to 2,956.53; and the FTSE AIM Index rose by 0.57 points to 669.48. 
Broker Notes Daniel Stewart reiterated its "sell" recommendation for Ladbrokes (LAD) with a 137p target price. The gambling company is facing delays with the re-launch of its website and, as a result, the broker expects first half operating profits from the online business to halve from 2011's comparable performance, to around 15 million pounds. Daniel Stewart also raised concern over the impact of the introduction of machine games duty, from February 2013, on the group's margins. The shares tumbled by 6.7p to 155.8p. 
Panmure Gordon maintained its "sell" rating for Millennium & Copthorne (MLC) with a target price of 353p. The broker expects the hotel chain to report first-half pre-tax profits of 66 million pounds, with growth in London and Asia compensating for widening loses in the US. Panmure raised doubts over the firm's leased upscale hotel model, claiming that the strategy rarely yields an economic profit. On the broker's forecasts, the shares trade on a full year prospective earnings multiple of 14.7 times and yield just 2.6%, which Panmure feels is too expensive for a company with limited earnings growth prospects. Share in Millennium & Copthorne inched up by 1.2p to 491.6p. Shore Capital retained its "buy" stance on St James's Place (STJ), impressed by the group's increasing funds under management by 8% during the six months ended 30th June to 30.9 billion pounds. The broker added that the firm has enjoyed relatively stable new business inflows during a period of high market uncertainty. Shore also noted that the wealth management company increased its dividend by 33% and that the shares trade at a 21% discount to forecasted year end net asset value. The shares grew by 5.9p to 347.5p. Blue-Chips Reckitt Benckiser Group (RB.) reported year-on-year revenue growth for 1% for the six months ended 30th June, to 4.7 billion pounds, while pre-tax profits grew by 2.5% to 1.06 billion pounds. The consumer goods firm noted that it outperformed the market under difficult trading conditions, with US peer Procter and Gamble previously issuing a profit warning. The company achieved strong growth in the emerging markets of Latin America, Asia and Russia, compensating for adverse exchange rate movements and declines in revenue from the mature markets of North America and Europe. The shares slipped by 6p to 3,536p. 
Electricity company National Grid (NG.) said that it enjoyed a "solid" start to the year, from 1st April to 29th July, with a focus on restructuring its UK operational framework and improving its customer service in the US. To this end, the firm expects to invest between 3.5 and 3.8 billion pounds in its 2013 financial year, in-line with previous guidance. The group added that it has nearly completed the roll out of its UK Gas Distribution Front Office systems, which it believes will enhance service and reduce costs. Shares in National Grid advanced by 7p to 668.5p. HSBC (HSBA) recognised a provision of 700 million dollars (445.3 million pounds) to cover expected fines over the recently uncovered money laundering scandal. This led to underlying pre-tax profits for the half year to 30th June falling 3% to 10.6 billion dollars (6.7 billion pounds), although contributions from disposals pushed total profits before tax up 11% to 12.7 billion dollars (8.1 billion pounds). The group maintained its strong growth in its primary market of Asia Pacific, while interest income in Europe fell 3.8%. The shares gained 12p to 543.1p. Mid-Caps Ultra Electronics Holdings (ULE) announced underlying pre-tax profits of 54.5 million pounds for the six months to 30th June 2012, 4.6% ahead of 2011's comparable period, with revenues buoyed by power management controls for US and UK nuclear submarines. This helped compensate for an 11.3% decline in sales from its Aircraft & Vehicle Systems division. Additionally, the group's order book declined 8.6% to 942.7 million pounds. The defence and energy systems developer made three acquisitions during the period and noted that it has sufficient reserves to fund further purchases. Ultra Electronics shares edged down by 1p to 1,481p. 
Specialised technical products supplier Diploma (DPLM) reported year-on-year revenue growth of 13% from 1st April to 29th June, boosted by recent acquisitions and a strong performance from its Seal business in North America. However, the firm noted that underlying growth in the Seals division slowed since the first half and added that its Controls division continues to struggle in the UK. Having spent 22.1 million pounds on acquisitions in the year, Diploma expects to have a small net debt position at the end of July, but noted that it remains well funded, with banking facilities of 20 million pounds. The shares crashed by 26.4p to 419.6p. Shares in Fidessa Group (FDSA) tumbled by 95p to 1,405p after it reported revenue growth of 3% to 141.3 million pounds in the half year ended 30th June, falling short of forecasts of 144 million pounds. Growth in the US and Asia of 3.9% and 18.1%, respectively, was counteracted by a 6.1% fall in UK sales. The trading software developer said that due to the continued weakness of the financial markets it expects revenue growth to remain modest for the balance of the financial year. Small Caps, AIM and PLUS News that Lombard Risk Management (LRM) has secured three contacts for the provision of its financial applications software sent shares in the global risk and compliance services company 0.5p higher to 9.25p. The first of these contracts is for the licence and implementation of its COLLINE collateral management software, which will be used by an international fund management group for a fee of 500,000 pounds per annum. Lombard will also provide two companies with software to meet the European Banking Authority's COREP and other related reporting requirements, bringing the total number to clients for this services to 13. The management of Pure Wafer (PUR) has announced that with record levels of production at its two silicon wafer facilities, it now expects results for the year ended 30th June to exceed current market expectations. The brief but bullish trading statement was enough to send the group's shares 0.375p ahead to 4.875p. Oil services business GETECH Group (GTC) confirmed that a strong performance across all of its operations meant that its results for the twelve months to July would beat current market expectations. The board also noted that at the year end it will be in the position to report improved forward visibility of income and strong cash balances. GETECH shares surged 4.5p to 28.75p. 
Atlantic Coal (ATC) achieved an 18.8% quarter-on-quarter increase in clean coal production at its Stock Colliery site in Pennsylvania, US following the successful diversion of Norfolk Southern railroad. The firm is confident that this production increase will accelerate further over the coming months as it focuses its attention on reserves contained within the prime Mammoth Seam, and is now targeting 2012 output of 155,000 tonnes. Atlantic Coal shares jumped 0.05p to 0.35p. BlackRock World Mining Trust is to provide London Mining (LOND) with 110 million dollars of funding in return for a 2% revenue royalty of iron ore sales from the Marampa mine. Chief executive of London Mining Graeme Hossie commented the deal "recognises the value of Marampa's expansion to 9 million tonnes per annum and beyond and strengthens London Mining's financial capability to achieve this." The company expects to receive the proceeds by 3rd August, which will be injected into funding the expansion of the mine. London Mining shares rocketed 25.25p to 173.75p. Shares in Ariana Resources* (AAU) plummeted 0.5p to 1.625p as the gold exploration and development company raised 625,000 pounds via the issue of shares at 1.5p, a steep discount to the pre-announcement share price. The Turkey focused business plans to use the proceeds of the placing for the acquisition and exploration of new gold properties in the western, central and eastern regions of the country. *Ariana Resources is a corporate client of Rivington Street Holdings, the owner of this website. | 
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