It is rare that the laws of physics are cited as a reason to buy a stock, but it helped to drive up the price of BT yesterday.
Britain’s privatised phone company broke back above the 100p barrier — through which it crashed four months ago — rising 7.6p to 102½p, helped by Lord Carter’s proposals to allow it to upgrade phone lines to superfast broadband by levying a 50p-a-month tax on copper wire phone connections.
Nick Delfas, of Morgan Stanley, upgraded BT to a “buy” (“outperform”) for the first time in four years, saying that the group would win the broadband battle with mobile phone operators.
“We strongly believe that mobile will never be a substitute for fixed-line broadband — physics makes it too