Market Report - August 2001

London Stock Exchange Plc
10 September 2001

MONTHLY MARKET REPORT - No. 2 - AUGUST 2001

MR2-08/01 - 10 September 2001

  * NUMBER OF SETS TRADES IN AUGUST 2001 DOUBLE THAT OF AUGUST 2000
  * NUMBER OF TRADES ON SETS IN FIRST 8 MONTHS OF 2001 EXCEEDS TOTAL FOR 2000

The number of trades on SETS, the Exchange's electronic order-book, was higher
in the first eight months of 2001 than for the whole of 2000 reaching 9.1m
trades to date in 2001, compared with 8.6m for all of 2000. The number of
trades on SETS was up 100 per cent in August 2001 with 1,307,814 trades,
compared to 652,565 trades in August 2000. The value traded also increased by
23.9 per cent to £50.4bn in August 2001, compared to £40.7bn in August 2000.

The total number of equity trades in the first eight months of 2001 was 13.6
per cent higher than for the same period of last year, with value traded up by
5.9 per cent. In August this amounted to £403 billion of business spread
across 3.9 million trades. This represented an increase in the number of
trades over August last year of 23.8 per cent.

The banking sector represented the greatest proportion of trading by sector in
August 2001, with 301,824 trades worth £19.5 billion.

The London Stock Exchange's Alternative Investment Market (AIM) welcomed 21
companies in August, ending the month with 597 companies quoted. AIM and
techMARK now account for 88.5 per cent of all the European growth and
technology markets, with market capitalisation of £466bn and 836 companies.*

A further 13 companies joined the Exchange's main market including Woolworths
Group plc and IVAX Corporation, an American pharmaceuticals company. These
brought the total number of company admissions for August 2001 to 34 (12 main
market UK, 1 main market international, 21 AIM).

Companies raised a total of £800 million across the market in August, bringing
the year to date total to almost £25 billion. The split between new issue
capital raising and further issue capital raising was 66:34 for August and is
now 41:59 for the year to date.

                                   - ends -

* 88.5 per cent by market capitalisation at the end of July 2001. For
comparative purposes 'all European growth and technology markets' are defined
as: techMARK, AIM, Neuer Markt, Nasdaq Europe/Easdaq, Nouveau Marche, NMAX and
Nuovo Mercato. Calculations based on most recent available data from
individual exchange websites. 836 companies is the figure at the end July
2001.

For further information, please contact:

Ian Campbell, Press Office

[phone], [e-mail]



About the London Stock Exchange:


    The London Stock Exchange is one of the world's leading equity exchanges
    and a leading provider of services that facilitate the raising of capital
    and the trading of shares.

    The London Stock Exchange is the most international equities exchange in
    the world and Europe's largest pool of liquidity. At the end of August,
    the market capitalisation of UK and international companies on its markets
    amounted to £4.32 trillion.

    The London Stock Exchange is a Recognised Investment Exchange (RIE) under
    the Financial Services Act and is supervised by the Financial Services
    Authority.

LONDON STOCK EXCHANGE

MONTHLY FACTSHEET FIGURES

August 2001
                                      2001                      2000
DOMESTIC EQUITY TRADING           Month   Year to date     Month   Year to date

Equity Trading Value (£m)        135,734    1,287,994      141,511    1,304,332
Number of Equity Bargains      2,468,290   20,544,549    2,198,050   20,428,280

INTERNATIONAL EQUITY TRADING

Equity Trading Value (£m)        267,491    2,661,999      268,540    2,426,034
Number of Equity Bargains      1,421,000   10,875,594      943,572    7,220,207

                                          August 2001               August 2000

DOMESTIC MARKET CAPITALISATION £bn              1,578                     1,985

TOTAL NUMBER OF COMPANIES                       2,928                     2,875

                                        
        UK list                         1,856              1,911

                                       
        Foreign                         475                504

                                       
        AIM                             597                460

                                        
        techMARK                        249                231

                                            2001                    2000
MONEY RAISED £m                      Month  Year to date     Month Year to date

UK & AIM New Issues Equity             453         6,156       451        9,106
                                      
        Further, Rights and            326        13,703     2,094       10,203
        Other

                                     
        Bonds and Warrants           5,346        55,311     4,330       65,881

Int. New Issues Equity                   -         3,292        74        2,564
                                        
        Further, Rights and             33         1,346         2          785
        Other

                                     
        Bonds and Warrants           4,351        59,923     8,130       61,648


COMPANIES ADMITTED IN MONTH             34           222        38          307


INDICES PERFORMANCE   Month Close            Mvt in Month           Mvt in Year

FTSE100                   5,345.0                     -3%                  -14%
FTSE All Share            2,590.2                     -3%                  -13%
FTSE techMARK 100         1,448.2                     -8%                  -44%
FTSE AIM                  1,027.3                     -1%                  -29%