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Mineral extractors weigh on FTSE

In mid-morning trading the FTSE 100 is trading at 6707, up slightly on the day as volatility dies off. 

Coal mining
Source: Bloomberg

In London, the FTSE is barely hanging onto the 6700 mark as the mineral extractors try their best the drag the index in to negative territory. It has been a choppy few days for the natural resource sector, which has seen some large swings, mostly to the downside that is. 

Property developer Hammerson is leading the FTSE 100 lower after the company announced a share placing to fund the purchase of a shopping centre in Leicester, which could be short-term loss and a long-term gain. 

Direct Line is back above £3 per share after the insurer announced plans to spin off its business in Germany and Italy to the Spanish firm Mapfre for £430 million. Shareholders await details of the capital being returned. 

Tesco is underwater again despite the news that Sports Direct is betting that the supermarkets share price will recover; by trading an options contract and speculating that the price will rise, Mike Ashley is putting his money where is mouth his. 

In the US, we are expecting the Dow Jones to open 10 points higher at 17,220. Dovish sentiment from Federal Reserve member Charles Evans has helped the index futures.

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