Construction shares rise on back of pre-Budget report announcements
Construction shares reacted positively to Alistair Darling’s pre-Budget report today.
Prices were up in the morning in anticipation of the announcement, which Numis analsyt Howard Seymour said was “broadly in line with what was expected”.
Highways, social housing and education were highlighted by the chancellor as areas of focus for £3bn of spending that will be brought forward.
There was also some cheer for housebuilders, with news of £100bn scheme to provide government guarantees for new mortgage lending, in line with the recommendations of the Crosby report published today
The market was also reacting to a strong day on Wall Street and the following price rises were registered at the close of play:
- Balfour Beatty – 304p (+5.6%)
- Carillion – 213p (+13.8%)
- Kier – 806p (+3.9%)
- Keller – 445p (+10.6%)
- Connaught – 375p (+9.1%)
- Morgan Sindall – 504p (+10%)
- Barratt – 56p (+2.8%)
- Persimmon – 242p (+3.3%)
- Bovis Homes – 302p (+4.2%)
For a full list see Citywatch