After opening lower on Wednesday as the coronavirus death toll approached 500 in China, the FTSE 100 firmed 31.46 points to 7,471.28 with global stock markets in recovery mode, although oil remained weak amid fears the outbreak will lead to persistently lower demand from China and clobber the global tourism sector.

Tobacco maker Imperial Brands (IMB) wafted 8% lower to £17.97 on a warning full year adjusted earnings will be ‘slightly lower’ than last year on flat revenue. This follows the US FDA’s ban on certain flavours of cartridge-based vapour devices as well as weaker consumer demand for vaping products in both the US and Europe.

Domino’s Pizza (DOM) rose 5.9% to 314.6p on an improved fourth quarter underlying performance in the UK and Republic of Ireland, despite the pizza delivery firm facing a strong comparative and cut-throat competition, driven by online growth.

Chief executive David Wild also assured full year operating profit from the UK and Republic of Ireland business is expected to be ‘within the range of current market expectations’.

Elsewhere, Vodafone (VOD) dialled in a 3.7p gain to 154.9p after the telecom giant reiterated full year earnings guidance having grown third quarter revenue by 6.8%, with ongoing recovery in Spain and acceleration in the UK offset by a tougher prior year comparison in Italy.

Chief executive Nick Read said Vodafone had maintained momentum in the quarter: ‘Competition in Europe remains challenging, primarily in the value segment, however we continued to improve customer loyalty and to grow in broadband, and we achieved good growth in Africa,’ he said.

Housebuilder Barratt Developments (BDEV) bounced 4% higher to 853.4p on news of a strong first half performance with good progress made against its medium term targets. ‘We have made a good start to our second half,’ insisted chief executive David Thomas, ‘and with substantial net cash, a well-capitalised balance sheet and strong forward sales, the outlook for the full year is in line with our expectations.’

Industry peer Redrow (RDW) rose 2p to 824p, despite posting a 15% fall in first half profit, as investors focused on news the first five weeks of the second half has been resilient.

Residential property investor Grainger (GRI) gained 4.6p to trade at 302.2p after it flagged a rise in rental growth over the four months to January, driven by improving housing market sentiment following the UK general election in December.

Also in demand was Smurfit Kappa (SKG), the packaging play perking up 4.3% to 328.36p after swinging to a full year profit and upping the final dividend by 12% to €0.81.

Lately-unloved Lookers (LOOK) edged 0.7p higher to 55.3p, investors relieved as the car dealer left its full year pre-tax profit guidance unchanged and appointed respected numbers man Mark Raban as chief executive.

Enterprise mobile computing play Touchstar (TST:AIM) surged 22% ahead to 53.5p on news it expects to beat annual profit expectations following a stronger than anticipated finish to 2019.

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Issue Date: 05 Feb 2020