TD Waterhouse customers second guess the markets

Angus Rigby, Chief Executive Officer, TD Waterhouse comments: "In this time of financial uncertainty heavy trading continues apace as our customers try to second guess the unpredictable markets. With the much anticipated Pension Protection Fund announcement, proposing changes to create more fair annual levy charges on Tuesday this week, pensions news has been topmost on our customers' minds. Indeed, Prudential has crept into both the buy and sell tables owing to mixed news over the past week. Its entrance at 8th place in the top ten sales follows news of the waning popularity of Defined Contribution schemes.

"Earlier this week, the insurance and pensions products provider revealed that 18% of UK workers have reduced the amount they pay into their pensions, and voluntary pension scheme contributions have dropped 53% since mid 2007 as people re-evaluate priorities in the credit crisis.

"Nevertheless, our customers are buying and selling Prudential stock at a ratio of 2:1 on the back of the company's recent launch of new live insurance policies which aim to reduce the premiums of policyholders. These seem to have been viewed as a positive move, leading to Prudential taking 6th place in the buys table with 5% of the top ten buys.

"Astrazeneca has also entered into the top ten sells table at 9th place. The pharamaceutical giant recently brought a patent infringement case against rival company Teva. Teva has opted to risk the infringement by selling their copy of Astrazeneca's branded drug in order to gain huge sales and this appears to have worried investors who now fear sales of Astrazeneca's product will decrease until the case is resolved.

"As has been the recent trend, the banking sector continues to play a prominent role in the week's trading. Lloyds TSB, Barclays and HBOS continue to sit towards the top of both the buy and sell tables, but this week's trading activity tips strongly towards buying. Buys in Barclays outnumbered sells by 3:1, but even this was eclipsed by Lloyds TSB, where buys outnumbered sells by 5:1 following the cunning attempt to privatize HBOS falling through.

"Since our tables were published a staggering 96% of Lloyds TBS shareholders have voted in favour of a government-backed takeover of HBOS. And with the banks making up more than 74% of the top ten buys this week, there may be longer term opportunities for investors who are willing to ride out the peaks and troughs."