The latest ups and downs on the stock market

RSA’s profit warning last Thursday may have caught some analysts off guard, but the announcement that the insurer was facing higher-than-expected winter weather claims has done little to alter the upwards trajectory of its share price.

The announcement certainly caused a blip – its closing price of 133.2p on Thursday was 1.2% lower than the previous day’s close, and the stock fell again slightly on Friday to close at 132.60. However, by Monday’s close it was back at 135p. The price is up 5.6% month on month.

While analysts hadn’t factored in the dip in operating profit, they praised RSA’s 2011 guidance, which indicated a combined ratio of better than 95%, continued net written premium growth and investment income of about £550m.

Other big-name insurers are also remaining resilient to the looming threat of winter weather claims: RSA’s UK rival Aviva’s stock was up 1.3% last week.

Prices

Market indices Movers price 7-day Currency

FTSE 100 5,943.85 Aviva (p) 434.40 +1.33% Dollar 1.60

FTSE 250 11,573.44 AXA (€) 15.12 +4.28% Euro 1.17

FTSE All-share 3,083.88 Allianz (€) 98.47 +3.33% Yen 132.01