Housing stocks faced mixed fortunes on London’s stock market, courtesy of an investment note put out by the Royal Bank of Scotland (RBS).
Berkeley dropped 7p to 875p, while Bovis Homes gave up 4.25p to 435. RBS downgraded them to “sell” in a new sector review. “We expect continued significant trading weakness in 2009, with further house price falls impacting asset values and cash margins,” the broker said.
Persimmon, rated a sell by RBS, shrugged off the note, gaining 5.75%, or 15.5p, at 279.75p. Barratt Developments gained 7.5% to 89.5p and Taylor Wimpey rose 0.75p to 16p after RBS took them off its sell list. Separately, Grainger fell 12.5p, or 8.36%, to 137p.
08/01/09 Financial Times 38 Independent 44
