London markets weaken in early trade on Wednesday with the FTSE 100 index sliding around 38 points, or 0.5%, to 7,033, having closed on Tuesday at 7,070.88 close. Midcaps also lose initial positive momentum, declining by a similar measure to 18,017.
In company news, shares in Premier Foods (PFD) tumble on Wednesday after warning that first-half profit was likely to be below the previous year and posted a drop in second-quarter sales due to warmer weather. Investors take the hint to heart, savaging the stock, which falls nearly 10% to 47.25p.
Mining giant Fresnillo (FRES) remains on track to deliver its full-year production guidance, after reporting quarterly results in line with expectations. That keeps the share price largely flat, off just a little more than a single percentage point at £16.28 even though the Mexican gold miner says the second phase of commissioning of the San Julian mine has had to be pushed back.
Domino's Pizza (DOM) reports growth in sales in the third quarter of 2016, driven by new stores, and it remains upbeat about hitting full year market expectations. System sales in the 13 weeks to 25 September are up 15%, matching the growth in the UK.
More positive noises come from the UK house building sector as Telford Homes (TEF:AIM) states that it will not be changing its growth targets as a result of the Brexit vote and that sales had been robust in recent weeks. Telford's shares rally 5.4% to 313.25p. This follows similarly upbeat comments and recent trading from retirement homes builder McCarthy & Stone (MCS) yesterday (read here).
Among the bigger movers, strong trading lights a fire under the shares of digital TV solutions supplier Mirada (MIRA:AIM), which also improves vital cash collection. The stock soars more than 18% to 4p.
Mining minnow Strategic Minerals (SML:AIM) continues to soar despite management confirming that there is no new news to report just days ago.
The stock rallies more than 26% on Wednesday to 1.02p, making it a 160% rally in just six trading days. The company posted interim results on 29 September.
Going the other way is Diamondcorp (DCP:AIM). It slumps by a third to 2.75p as it reports drilling problems at its Lace diamond mine in South Africa and goes cap in hand to investors for a further cash injection, looking for between £2.5m and £3m.
Biotech Synairgen (SNG:AIM) is also marked sharply lower as it reports that partner AstraZeneca (AZN) has called time on INEXAS asthma treatment after latest clinical trials data. That sparks a 38% collapse in the share price to 21p.
Construction firm Kier (KIE) has sold its Mouchel Consulting business to WSP Global in a £75m deal. The funds will be used for future investment cut debt. The shares barely move, however, nudging 0.5% to £13.65.
Car dealer Vertu Motors (VTU:AIM) reports half year growth in pre-tax profit and revenue boosted by recent acquisitions and an improvement in used car sales. That goes down relatively well with investors, the stock around 2% up today at 47p, valuing the business at about £187m.
