FTSE rises amid eurozone optimism
London's leading shares index has ended the week on a high note amid hopes for a solution to the eurozone crisis and a resilient performance from the scandal-hit banking sector.The FTSE 100 Index closed 17.9 points higher at 5852.4 as expectations mounted for action on Europe's debt woes after German chancellor Angela Merkel said Germany will do everything it can to save the euro.
The mood was lifted by a robust performance on the US market, where the Dow Jones Industrial Average was 0.1% ahead at the time of the London market close, as investors were cheered by an improvement to the consumer sentiment index in August.
The pound was down against the US dollar at 1.56 as the greenback was strengthened by the consumer survey. Sterling was up against the euro at 1.27.
In London, embattled blue chip banks buoyed the Footsie in thin trading volumes as the sector continued to shrug off the mounting Libor-rigging scandal.
Barclays was the top tier's biggest riser with a 4% gain - up 6.7p to 192.9p - despite being one of three British banks summoned for questioning in the US, along with four other banks worldwide.
Royal Bank of Scotland and HSBC, which were also issued with subpoenas earlier this week, were up 4.3p to 231.6p and 5.2p to 570p respectively.
Retailers also continued to make headway following Thursday's news of a surprise 0.3% rise in UK retail sales last month. B&Q parent Kingfisher added 6.7p to 295.6p and supermarket giant Tesco was 1.7p higher at 340p.
South West Water parent Pennon was in the red during the early session after warning its Viridor waste arm was seeing a plunge in first half trading due to sharply lower recycling prices, but later clawed back to stand 2.5p higher at 747p.
Miners littered the fallers board, with Anglo American the biggest loser with a 47p fall to 1927.5p. Lonmin shares fell further in the FTSE 250, down another 8.5p to 639.5p, after more than 30 miners were killed at the company's Marikana mine in South Africa, after recent clashes between police and striking miners.
Barclays was the top tier's biggest riser with a 4% gain - up 6.7p to 192.9p - despite being one of three British banks summoned for questioning in the US, along with four other banks worldwide.
Royal Bank of Scotland and HSBC, which were also issued with subpoenas earlier this week, were up 4.3p to 231.6p and 5.2p to 570p respectively.
Retailers also continued to make headway following Thursday's news of a surprise 0.3% rise in UK retail sales last month. B&Q parent Kingfisher added 6.7p to 295.6p and supermarket giant Tesco was 1.7p higher at 340p.
South West Water parent Pennon was in the red during the early session after warning its Viridor waste arm was seeing a plunge in first half trading due to sharply lower recycling prices, but later clawed back to stand 2.5p higher at 747p.
Miners littered the fallers board, with Anglo American the biggest loser with a 47p fall to 1927.5p. Lonmin shares fell further in the FTSE 250, down another 8.5p to 639.5p, after more than 30 miners were killed at the company's Marikana mine in South Africa, after recent clashes between police and striking miners.
© 2013 Press Association