Commods drive FTSE rally, Segro results disappoint

                                
 * FTSE rebounds 0.8 percent after Wednesday's fall
                                
 * Miners, energy stocks up with commodity prices
                                
 * Segro slides as results fail to impress
                                
 
                                
 By David Brett
                                
 LONDON, Aug 26 (Reuters) - Commodity-linked stocks, led by
Kazakhmys after first-half results, drove Britain's top share
index higher by midday on Thursday following sharp falls in the
previous session.
                                
 By 1039 GMT, the FTSE 100 <.FTSE> was up 38.07 points, or
0.8 percent, at 5,147.47, buoyed by a late rally overnight on
Wall Street and picking itself up from a seven-week closing low
on Wednesday.
                                
 Kazakh copper miner Kazakhmys <KAZ.L> rose 3.7 percent after
it reported a 130 percent rise in underlying first-half earnings
per share and said it was on track to meet its full-year output
goals.
                                
 Evolution Securities kept its "add" recommendation on
Kazakhmys, but raised its target price to 1,295 pence from 1,185
pence to reflect the increase in the broker's copper price
estimates.
                                
 Sector peers <.FTNMX1770> rallied after taking a hammering
on Wednesday, along with metals prices, from gloomy reports on
U.S. housing and durable goods orders.
                                
 "Investors drew some confidence from the late rally in the
U.S., but it feels empty, with little out there to sustain this
push other than bottom picking, with weak macroeconomic data,
particularly from the U.S., still haunting markets," said Jimmy
Yates, head of equities at CMC Markets.
                                
 Xstrata <XTA.L> was up 2.1 percent after major shareholder
Glencore International [GLEN.UL], the Swiss mining and
commodities trading giant, posted strong first-half results on
strong metals prices. [ID:nLDE67O1KW]
                                
 BHP Billiton <BLT.L> climbed 1.5 percent as its chief
executive flies to North America this week to crank up the charm
offensive with Potash Corp <POT.TO> shareholders after dousing
expectations he would sweeten a $39 billion bid for the
fertiliser giant.
                                
 Energy stocks <.FTNMX0530> also recovered after falls in the
previous session, rising with crude prices <CLc1>.
                                
 Oil services and engineering group Amec <AMEC.L> added 3.7
percent after it posted a 20 percent rise in profits.
[ID:nLDE67O21A]
                                
 
                                
 SEGRO FALLS
                                
 Segro <SGRO.L> topped the FTSE 100 fallers' list, down 3.5
percent, after the industrial property landlord reported
first-half results and only a small rise in asset value per
share. Evolution Securities cut its rating on the stock to
"neutral" from "add", saying there was "no catalyst for equity
outperformance". [ID:nLDE67O11S]
                                
 Diageo <DGE.L>, the world's biggest spirits group, fell 1.6
percent after its full-year results, with Credit Suisse cutting
its 2011 earnings per share forecast for the company along with
its price target. [ID:nLDE67P0GU]
                                
 G4S <GFS.L> rose 3.1 percent after the security services
group reported a rise in first-half profit thanks to strong
performance at its Asia and Middle East businesses, and said it
expected more growth in the second half. [ID:nLDE67P0FT]
                                
 Wall Street futures pointed to a flat to slightly higher
open on Tuesday as investors await the release of U.S. weekly
jobless claims at 1230 GMT.
 (Editing by Will Waterman)