The Budget has been and gone - did anyone notice? The new tax year begins next week, and this week is the last to finalise end-of-tax-year planning.

Capital gains have been hard to come by in recent years, but long-term holdings may still need attention. One welcome announcement from the Budget is that the Capital Gains Tax exemption allowance for the 2004-5 tax year will be raised to £8,200, and in the case of trusts, to £4,100.

By pure coincidence, the stock market fell by 3.3 per cent in the week following the Budget, as geopolitical concerns dominated otherwise encouraging company results.

The house building sector, urged on by the increasing need for new housing and the spectre of increases in stamp duty failing to materialise, has continued to announce impressive results. The last of the major house builders to report, Barratt Developments, saw profits rise by 35 per cent. Just as impressive is the fact that forward sales have already secured 93 per cent of the current year's projection.

Sharp falls in the stock market give rise to two trains of thought. The eternal pessimist will view a fall as the beginning of doom and gloom. An alternative view is to investigate market trading, and analyse the level of selling. With no significant selling pressure in the market, the optimist will view any setback as a buying opportunity.

The four-month low recently seen in the market may be that. Subsequent rises in the US and Japanese markets have helped to boost the UK market. This all proves that market timing of when to invest, in addition to what to invest in, remains a crucial tool to successful investment returns.

One of the best indicators of economic recovery is the financial fortunes of the advertising industry. Billboard owner Maiden announces its full-year results today. Thanks to a trading update in January, we already know that profits will be down from £6.3m to between £5.3 and £5.5m, but also that there was a strong second half recovery. If that continues, then Maiden might make as much as £8.2m this year.

Tomorrow sees results from fallen tech-star Baltimore. The company is a member of the so-called 99 Club - its shares have fallen by more than 99 per cent since their peak on March 10, 2000.

The intrigue over Morrisons surplus Safeway stores rumbles on. As part of the takeover, Morrisons is required to sell 52 of the Safeway stores. Last week, Waitrose, part of the John Lewis Partnership, snapped up 19 of the generally southern stores. This still leaves the generally northern stores to be sold.

As we know, Darlington is dominated by both Morrisons and Safeway, and some of the stores have to go. The big rumour is that Tesco is keen to gain a bigger presence in the area. Contracts are yet to be signed and sealed, however. A late move from Sainsbury's cannot be dismissed though, as the group announced the sale of its Shaw's Supermarkets in the US. The sale proceeds of $2.47bn are being targeted at developing its UK retail business. Sainsbury's has confirmed it is looking to buy about 20 outlets, and this is very likely to include some of the Safeway stores.

For investment advice contact Anthony Platts on 01642 608855.

Published: 30/03/2004