THE FTSE 100 Index struggled to make headway yesterday in spite of a raft of broker upgrades and signs of life in the DIY sector.

ITV’s shares surged 13 per cent on hopes of a recovery for the media sector next year, while Credit Suisse upped its ratings on a host of utilities.

But the wider FTSE 100 closed near to its opening mark – up 4.5 points at 4416.2.

It was a significant day for the pound and oil prices, with sterling breaking through the $1.6 mark for the first time in seven months and the cost of crude hitting a new sixmonth high.

Mortgage figures showing lending at an eightyear low failed to dampen the mood, particularly for Home Retail Group, which lifted 8.75p to 235.25p.

In the top flight, Severn Trent surged up the leaders’ board, gaining 19p to 1158p, following the Credit Suisse note.

United Utilities, due to post figures tomorrow, rose 1p to 543p.

The rest of the retail sector was mixed, with Next down 25p at 1452p and Marks & Spencer 1.75p lower at 286p, a fall of nearly one per cent.

Among the banks, Lloyds Banking Group was a top-flight faller, off 1.3p at 65.5p after Nationwide warned of tough conditions ahead and the squeeze on profits from lower savings margins and increased bad debts.

In other corporate news, Jessops shares tumbled 63 per cent after the company said any debt restructuring of its business would leave shareholders with nothing.

It also reported losses of £6.3m for the six months to March 31, as the beleaguered stock slipped 4.2p to 2.43p.

Tool hire specialist Speedy Hire also fell 12.25p to 176p after it revealed a bottom-line loss of £70.6m and said recent trading had been more subdued than anticipated.