Financials buoy a flat FTSE 100

THE FTSE 100 was trading broadly flat in early deals this morning, as continued worries over the Cyprus bailout continued to dent confidence.

Cypriot banks are to remain shut until Thursday, to prevent a run on deposits.
Financial shares were in high demand this morning, with fund manager Aberdeen Asset Management rising 4.6 per cent. Yesterday it said it had attracted a further £3.5bn from investors in the first two months of the year.
Fund house Schroders, which yesterday agreed a £424m acquisition of Cazenove Capital, was up three per cent. The stock was also boosted by a price target upgrade from Exane BNP Paribas.
UK banking shares mainly had a good morning. HSBC was up one per cent, RBS was up 0.3 per cent, Barclays rose 0.9 per cent although Lloyds Banking Group was off 1.7 per cent.
B&Q owner Kingfisher, which this morning reported an annual drop in pre-tax profit, was up 2.3 per cent.
Insurer Resolution was up two per cent as investors welcomed its full-year results.
Weighing on the top share index this morning was miner ENRC, which fell 5.3 per cent. This morning copper miner Kazakhmys said it had taken a $2.22bn impairment charge on the value of it stake in ENRC.
Plumbing supplies group Wolseley was down 2.8 per cent as it posted a 20 per cent fall in pre-tax profit.
Meanwhile catering firm Compass was off by 2.3 per cent, as it said in a trading statement today it expected revenue growth of around five per cent in the first half.