Mining heavyweights drive London market into black

The meeting in Korea of 20 major advanced and emerging nations resolved to avoid weakening currencies to boost exports – a scenario that could cause a trade war – but stopped short of setting any measurable targets.

With the weak greenback making dollar-based mining stocks more attractive to investors, the FTSE 100 Index added 10.61 points to 5751.98.

Antofagasta topped the risers' board with a gain of 52p to 1321p, a rise of 4 per cent, while Kazakhmys added 47p to 1380p and Xstrata lifted 341/2p to 1324p.

The pound is up against the still weakening dollar at 1.52 and reversed a recent downward trend against the euro, and was up at 1.125.

Other climbers on the Footsie included luxury fashion house Burberry, which added 32p to stand at 1026p after broker Investec upgraded its share target price to 1100p from 950p, and speculation of a bid for the firm continues after sector peer LVMH's bid for a 17 per cent stake in luxury brand Hermes.

In a quiet session for corporate news, Pearson shares fell 3 per cent, or 281/2p to 9471/2p, despite the Penguin, Financial Times and school books publisher lifting its earnings guidance for the second time in three months.

Its Penguin book publishing arm saw sales rise 5 per cent thanks to a three-fold hike in sales of e-books, with the division now offering 16,500 digital titles.

Comic Stephen Fry's best-selling memoirs, The Fry Chronicles, were published in five formats as part of this effort to tap into demand for digital versions.

It is hoping a line-up including books by celebrity chef Jamie Oliver and comedian Michael McIntyre will position the consumer publishing arm well for the crucial Christmas season.

Lloyds Banking Group bucked the trend of rising shares and topped the fallers' board after Credit Suisse cut its 12-month target price for the stock to 79p from 87p and warned falling property prices could have an impact.

Shares dropped 5 per cent, or 37/8p to 68p.

It said the market's consensus forecast for 2011/12 revenues was 5 per cent too high and said that a 10 per cent fall in residential property prices over an 18-month period could increase impairment charges by up to 5bn.

The update also knocked Royal Bank of Scotland, which slipped 3/4p to 453/8p.

Outside the top flight, shares in McBride, which makes supermarket own-label products such as laundry liquids, mouthwash and toothpaste, rose 2 per cent or 33/8p to 1763/4p after it announced a 1 per cent rise in sales between July 1 to October 24, even though chief executive Chris Bull admitted big brands were fighting hard for sales.

He said the promotional spree was not necessarily bad news for McBride as consumers would become accustomed to paying low prices for brands and when the average price increased again they would buy even more supermarket own label goods, which would offer better value for money.

The four biggest Footsie risers were Antofagasta, Kazakhmys, Burberry and Wolseley ahead 52p to 1703p.

The four biggest Footsie fallers of the session were Lloyds Banking Group, Pearson, Invensys down 83/4p to 3115/8p and Standard Chartered which closed the day 321/2p lower at 1806p.