FTSE ends four-day losing streak
Signs of hope for the global economy have helped the FTSE 100 Index break a four-day losing streak as it surged 1.4% higher.The Footsie rose 77 points to 5523.9, with similar gains across indices worldwide as investors reacted to speculation that China will announce measures to kick-start its economy and noted better figures on the US economy.
The Dow Jones Industrial Average on Wall Street was 0.8% ahead, while the Cac 40 in France rose 1.7% and Germany's Dax lifted 1.5%.
The gains are expected to be a brief respite ahead of the EU summit on Thursday, with many sceptical it will get to grips with the eurozone debt crisis.
Sterling remained near its four week high against a weakened euro, at 1.25 euro. The pound eased back against the greenback, to 1.56 dollars.
Banks were among those leading the FTSE 100 higher - including Barclays, which rose 1.9% despite news it has agreed to pay penalties of £290 million to settle claims that it manipulated interbank lending rates at the height of the financial crisis.
The group, whose shares rose 3.7p to 196.1p, apologised and said chief executive Bob Diamond and three other executives would forgo their bonuses this year.
Lloyds Banking Group was another leading riser with shares 1.1p higher at 31.2p. The part-nationalised bank made an announcement after the market close confirming it had moved closer to a deal to sell 632 branches to the Co-operative Group.
Shares had risen earlier in the day after a report in the Financial Times said Lloyds was to reveal progress on the deal.
Royal Bank of Scotland was the biggest faller on Tuesday, but recovered some of the ground lost following its IT meltdown to rise 5.4p to 233.1p.
Banks were among those leading the FTSE 100 higher - including Barclays, which rose 1.9% despite news it has agreed to pay penalties of £290 million to settle claims that it manipulated interbank lending rates at the height of the financial crisis.
The group, whose shares rose 3.7p to 196.1p, apologised and said chief executive Bob Diamond and three other executives would forgo their bonuses this year.
Lloyds Banking Group was another leading riser with shares 1.1p higher at 31.2p. The part-nationalised bank made an announcement after the market close confirming it had moved closer to a deal to sell 632 branches to the Co-operative Group.
Shares had risen earlier in the day after a report in the Financial Times said Lloyds was to reveal progress on the deal.
Royal Bank of Scotland was the biggest faller on Tuesday, but recovered some of the ground lost following its IT meltdown to rise 5.4p to 233.1p.
© 2013 Press Association