| The Markets In the UK, the Welsh assembly has agreed in principle with the Coalition government for limited powers to borrow money for funding major infrastructure schemes that could stimulate the contracting economy. The agreement was met with mixed reactions, with critics arguing it should be replaced with a system that better reflects how much Wales needs. Meanwhile, the Eurozone's manufacturing and services sectors shrunk at their fastest rate in three and a half years in September, with the Markit Eurozone Purchasing Manager's Index falling to 45.8, well short of consensus forecasts of 46.5. Staying with Europe, Yiannis Stournaras, the Greek finance minister, claimed that the country has been given an extension to hit bailout targets. The beleaguered Hellenic Republic has requested an additional two years to meet austerity requirements. However, Mario Draghi, president of the European Central Bank, claims to have no knowledge of the extension approval. At the London close the Dow Jones was up by 28.70 points at 13,127.55 and the Nasdaq was up by 0.27 points at 2,661.62 . In London the FTSE 100 rose by 6.87 points to 5,804.78; the FTSE 250 finished 28.45 points behind at 11,862.66; the FTSE All-Share gained 2.09 points to 3,031.90; and the FTSE AIM Index declined by 1.15 points to 707.68. 
Broker Notes Shore Capital reiterated its "buy" recommendation for Marks & Spencer (MKS) ahead of interim results due on 6th November. The broker expects the food and clothing retailer to report an improvement on recent lows in its Home market, driven by good trading in footwear and childrenswear. M&S Food is also forecast to have done well, with promising performances of the new "modern Asia" range and greater availability of products overall, the latter of which, the broker noted, has been a significant problem in the past. The shares inched up by 1.6p to 389.7p. 
Canaccord Genuity downgraded its stance on C&C Group (CCR) from "hold" to "sell" with a target price of 3.3 euros (267p). The broker argued that the amount the firm paid for Vermont Company, 20.8 times EBITDA, is too high and that the level of financial leverage adds an element of risk. Canaccord added that the food and beverage company's core business in the UK and Ireland are trading poorly and its earnings before tax have fallen 19.8% and 15.7% in these two regions, respectively. C&C shares rose by 0.03 Euros to 3.85 Euros. Seymour Pierce held its "buy" rating for Berkeley Mineral Resources (BMR), with a 4.6p target price, amid the agreed acquisition of substantial copper dumps at the former Bwana Mkubwa mine on Zambia's Copperbelt. The broker noted that the firm will build a pilot plant at the site which it believes will be capable of producing 150 tonnes of copper cathode sheets per month. The expected revenues to come from this project are 14.4 million dollars (9.3 million pounds), with the first cash flows expected in the third quarter of next year, providing funds that could then go on to support other projects in the region. The shares slipped 0.125p to 2.925p. Blue-Chips Financial services company Hargreaves Lansdown (HL.) announced pre-tax profits of 152.8 million pounds for the year ended 30th June 2012, up 21% on the previous year's performance. The firm also reported 24.6 billion pounds worth of clients' assets under administration, which represents a 7% increase. The business invested in advanced online technology, alongside an iPhone app which has now been downloaded over 60,000 times. Complimenting this, 2012 will see the launch of a free iPad app. The group's corporate Vantage service expanded by 74% and is well on its way to making a material contribution. Hargreaves Lansdown shares lost 1.5p to close at 742.5p. 
British American Tobacco (BATS) announced growth in revenues of 4% for the 9 months ended 30th September 2012. Volumes of the group's four core brands grew by 3%, while cigarette volumes from subsidiaries decreased by 1.2% to 517 billion. The Kent brand was slightly up, growing in Russia, Ukraine and Azerbaijan but this was almost entirely offset by the decline in Japan. Lucky Strike grew 14% benefiting from strong demand in Poland, Germany, France, South Korea, Argentina and Chile. BATS said that it was on track for another year of good earnings growth. The shares dropped by 10p to 3,154p. Mid-Caps Sportswear retailer Sports Direct International (SPD) achieved a rise of 18% in total sales to 402.7 million pounds for the 9 weeks ended 30th September 2012. Sports retail sales increased by 16.8% to 344.7 million pounds, while gross profits increased by 20.5% to 142.8 million pounds. In light of the results, broker Seymour Pierce reiterated its 2013 full year EBITDA forecast of 264 million pounds, which would fall just short of the group's "super stretch" target of 270 million pounds. However, the broker noted that the firm should benefit from its recent acquisitions in the medium-term and sees considerable room for online growth. Sports Direct shares fell by 5.1p to 398.9p. 
Financial services firm Rathbone Brothers (RAT) reported a 9.5% increase in funds under management to 17.35 billion pounds over the nine months ended 30th September 2012. Net operating income increased by 7.8% to 109.4 million pounds while net interest income of 7.6 million pounds was approximately the same as the corresponding period in 2011. The company added that it recently acquired the investment management business of AIB Jersey, which has 43 million pounds under management. The shares closed up by 12p at 1,319p. Home Retail Group (HOME) revealed a drop of 1% in sales for the 26 weeks ended 1st September 2012, to 2.5 billion pounds, with benchmark pre-tax profits tumbling by 37% to 17.9 million pounds. In reaction the dividend was slashed by 3.7p to just 1p per share. By division, Homebase sales dropped by 6.2% to 787 million pounds, but there was encouraging news from Argos, which reported growth of 0.6% to 1.686 billion, driven by demand for tablets and e-readers. A restructuring of the business will focus Argos as a digital retailer, with at least 75 physical stores expected to be closed or relocated over the next five years. Home Retail shares increased by 1.6p to 105.7p. Small Caps, AIM and PLUS Dart Group (DTG) reported strong summer trading for its Jet2.com budget airline business, benefiting from holiday goers looking to escape the poor British weather. The firm added that its Jet2holidays division transported 321,000 passengers, in the six months ended 30th September, 97% more than in 2011's comparable period. Meanwhile, the group noted that its Fowler Welch frozen food distribution business performed in-line with expectations. Shares in Dart flew up by 7.75p to 84.25p. Oil and gas explorer Magnolia Petroleum (MAGP) announced that it has secured a rig to drill the first well at its Mississippi Lime formation in Oklahoma. Drilling is scheduled to being before the end of the year and is expected to cost around 729,148 dollars (456,145 pounds). The move is part of the firm's plan to increase the number of its producing wells from 84 to 108. It currently holds interests in the Three Forks Sanish project in North Dakota and the Woodford and Hunton projects in Oklahoma. The shares swelled by 0.075p to 4.525p. Top technical analyst Zak Mir reckons Magnolia's new share price support is a very bullish sign - read his comments by CLICKING HERE Tangent Communications (TNG) achieved revenues of 12 million pounds for the half year ended 31st August 2012, an increase of 1 million pounds on last year's comparable period. The firm noted that its Tangent Snowball subsidiary secured contracts with renowned businesses such as Carlsberg, Richemont Group and Tata. Separately, the marketing company announced the acquisition of business card designer Goodprint for a consideration of 10.2 million pounds, which will be funded through a 10 million pound equity placing. The purchase will give Tangent access to the target's 120,000 strong customer base and increase its presence in 17 countries. The shares added 0.625p to close at 10.75p. 
Clontarf Energy (CLON) noted that there was a light oil discovery 70kms northwest of its own Energy Block 188 in Peru, made by Petrominerales of Canada. The rival company's announcement was made on the 22nd October and specified that they had found oil in two zones of its Sheshea-1x well. The hydrocarbon explorer believes that this discovery in the Chonta and Agua Caliente formations could indicate that there are similar oil deposits in its own block. The shares powered up by 0.125p to 2.125p Lombard Risk Management (LRM) reported revenue growth of 20% to 7.7 million pounds for the six month period ended 30th September 2012, but profits before tax fell to 1.3 million pounds from 1.8 million pounds. The regulatory and compliance software business said that tighter regulation imposed on its banking customers has increased their obligatory spending, which it believes will help provide more lines of revenue. The group also noted a rise in reporting requirements relating to derivatives reform and this in turn could give it an opportunity to boost sales. The shares fell by 0.375p to 10.5p. Precious gem miner Stellar Diamonds (STEL) reported a 64% reduction in pre-tax losses to 5.4 million dollars (3.4 million pounds) for the year ended 30th June. Independent commissions, which investigated the group's Droujba project in Guinea and Tongo project in Sierra Leone, confirmed that they contained 2.5 million and 0.66 million carats of JORC complaint inferred resources respectively. However, investors were concerned to hear that the firm is still in a dispute with the Ministry of Mines of Sierra Leone regarding the renewal of its Kono licences, where it has already spent some 19 million dollars (11.9 million pounds) on exploration. The shares slumped by 0.125p to 2.875p. Solo Oil's (SOLO) joint-venture partner Reef Resources announced an 85% increase in probable plus proven (P2) reserves at its assets in Ontario, rising to 348,700 barrels of oil, gas and liquids, up from from 189,000 barrels. Using a 10% discount rate, the net present value of the P2 reserves stands at 7.86 million dollars (4.9 million pounds) a 98% rise on the previous year's figure. Shares in Solo shot up by 0.075p to 0.59p despite the company not expecting Reef to make the announcement. Solo said that it will make its own comment shortly. | 
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