LONDON MARKETS: M&S Leads FTSE 100 To Fourth Day Of Gains

By Sara Sjolin, MarketWatch

LONDON (MarketWatch) -- Shares of Marks & Spencer Group PLC led U.K. stocks higher on Thursday after reporting fourth-quarter sales growth, while steelmaker Evraz tumbled after warning of risks in global steel markets.

The FTSE 100 index added 0.5% to close at 6,416.14, extending gains into a fourth straight session.

Marks & Spencer rose 4.3%, after the retailer reported a 3.1% growth in group sales for fourth quarter, but said the cautious outlook for the year remains unchanged.

On a more downbeat note in London, shares of Evraz PLC sank 11%, after saying it sees strong downside risks to global steel markets in 2013 as the economic environment remains fragile. The firm's board recommended canceling a final 2012 dividend.

Other mining firms also moved lower, tracking declines for most metals prices. Antofagasta PLC dropped 1.7%, Anglo American PLC gave up 1.4% and Vedanta Resources PLC fell 0.9%.

Shares of Eurasian Natural Resources Corp. lost 4.7%, as Chief Commercial Officer Jim Cochrane resigned with immediate effect.

Heavyweight miner Rio Tinto PLC (RIO) was little changed, as people familiar with the situation said the firm is looking for a buyer for its 57% stake in Ivanhoe Australia Ltd.

Reckitt Benckiser Group PLC put on 0.1%, as Barclays lifted the maker of Vanish and Strepsils to equal-weight from underweight.

Within the European consumer-staples space Barclays pointed to Diageo PLC , up 0.7% and Unilever PLC (UL), up 0.5%, as preferred names.

Associated British Foods PLC gave up 1.6%, after Société Générale cut the food and retail group to hold from buy.

AstraZeneca PLC (AZN) inched 0.1% lower. Moody's Investors Service downgraded the drug maker's long-term rating to A2 from A1, citing ongoing pressure on sales and earnings in relation to patent expirations at some of the best-selling drugs.

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