Economics / Markets

Travel-related companies have helped the FTSE end the day up 11.70 points (0.21%) to 5489.20, after a volatile day.

London shares opened lower after news one the of UK's biggest banks, RBS, had made a half-year loss, but the FTSE100 made a recovery by mid-morning and was down just 1.1 points (0.02%) to 5,476.4.

Having fallen from their July highs, oil prices will trade in the $100-140/barrel range in the coming months, in line with the underlying supply/demand dynamics, according to Angus McPhail, global oil and natural resources analyst at Alliance Trust.

Wall Street trading was down on opening due to a rise in unemployment and poor retail figures, with the Dow Jones index falling 107.55 points (0.92%) to 11,548.52.

HBOS data has revealed a 1.7pc dip in house prices in July, bringing the year-on-year fall to 8.8pc.

A miner-led surge has driven the FTSE100 ahead in mid-morning trading, up 0.61% to 5519.80.

In London, markets climbed further as a possible takeover of Lonmin hit the news, with the FTSE 100 index rising 31.6 points (0.58%) to 5,486.1.

As widely predicted, the Federal Reserve has kept interest rates on hold at 2pc, while the accompanying statement gave little clue as to its future strategy.

After an erratic start, the FTSE100 is in the black this morning, up 13.80 points (0.25%) to 5468.30 thanks to attempted takeover activity in the mining sector.

In London, falling oil prices cheered up investors and the FTSE 100 added 132.5 points (2.49%) to close at 5,452.7.