Market overview: Lloyds helped higher by UBS comments



LONDON (ShareCast) - 1008: Lloyds is providing a lift in London this morning after UBS (NYSEArca: DJCI - news) raised its target price for the stock from 44p to 46p, saying that the bank's third-quarter results showed 'solid progress and improving momentum'. The broker upped its 2012 EPS estimate by 24 per cent after Lloyds pared its full-year impairment guidance. However, analysts said: 'We remain 'neutral' on Lloyds and the other UK domestic banks as we believe that there is a low, but non-zero, risk of regulatory driven dilutive equity raising.'

0909: Energy (NYSEArca: JJE - news) support services firm Cape (LSE: CIU.L - news) is down 30 per cent in early morning trade, following the revelation that it has discovered accounting irregularities at its Australian business and as a result has initiated "a detailed analysis of all balance sheet items group-wide". FTSE 100 (FTSE Index: EO100.FGI - news) up 7 to 5,778.

0908: Shares of Oil and gas exploration minnow San Leon Energy (LSE: SLE.L - news) are falling 13 per cent after announcing that it is to acquire fellow explorer Aurelian in an-all share merger.

0812: The expected boost from Greece's policy-makers approving the country's 2013 budget is taking a while to materialise, with Footsie (FTSE: ^FTSE - news) barely changed at the outset. Eurozone finance ministers are set to meet in Brussels this afternoon, which could be a factor in the market's indecisive mood. On the company news front, defence contractor Cobham (LSE: COB.L - news) is under fire after it revealed like-for-like revenue is set to decline next year, largely as a result of anticipated cutbacks in US defence spending. FTSE 100 is up 1 at 5,770.