Monday Lunchtime Market: ITV sinking as FTSE fluctuates

The FTSE 100 was flat at lunchtime despite volatile trading in the underlying stocks. The index was up 19.9 points to 5,712.8, with the fallers countered by a strong showing from miners and the oil companies.

ITV was the biggest loser of the day, with the broadcaster slumping 4.6p per share to 63.3p, after being downgraded by analysts over fears that the UK ad market was deteriorating and the risk of a housing and consumer slowdown fast becoming a reality.

Other strugglers included Marks and Spencer, which plummeted 9.5p to 386.75p per share, after coming under more pressure from shareholders including Schroder and Fidelity over its decision to appoint chief executive Sir Stuart Rose as executive chairman.

Mobile phone operators were also in the firing line, with Vodafone and BT Group falling after the price target for Vodafone was cut by Morgan Stanley.

Morgan Stanley said Vodafone was one of the companies most exposed to the likely decision by the European Commission to recommend aggressively lower Mobile Termination Rates from June.

The fallers were countered by the miners, which were higher following upgrades to Antofagasta and Xstrata , as well as HBOS which was the top riser on the day.

The bank gained 21.5p, to hit 561.5p, while Antofagasta was up 25p to 700.5p per share.

Meanwhile Royal Dutch Shell was higher by 44p, reaching £17.03 per share, after analysts upgraded it to a buy from a hold.

The FTSE 250 was also slightly higher at 13.19pm, up 40.3 points to 10,001.6 points. It was driven up by property firm Mapeley which gained 73p, rising to £13.94 per share following the sell-off on friday.

It countered fallers including Telecity, the biggest faller in the index after shedding 8.5p to hit 183.5p per share.

The pound was down against the dollar, slipping to $1.9854 from $1.9937.