FTSE flat after US, Asia gains

The FTSE fell back slightly in early trading on Thursday despite strong overnight showings on Wall Street and in Asia.

Following yesterday's 2.7% rally which took London's leading index well above 5,300, the FTSE opened 15 points, or 0.25%, lower at 5,352.82.

The decline comes despite a strong showing in the US, where an upbeat manufacturing report helped the Dow Jones finish more than 250 points higher at 10,269.

Sentiment seeped through to Asia, where the Nikkei advanced 1.52% before closing at 9,063.

in London, microchip designer ARM Holdings is 3% lower at 363p as takeover talk continues, while miners Lonmin and Eurasian Natural Resources also fell.

A bullish note on the gold mining sector from Collins Stewart failed to help Fresnillo, which has dropped 2% to £10.96, while African Barrick Gold is also 2% lower.