The FTSE 100 index has risen 32.4 points or 0.6% to 5781.7 points this morning, led by financial stocks such as HSBC.
HSBC has gained 5.5p or 0.6% to 933p, while HBOS has risen 17p or 1.86% to 933p.
Hedge fund firm Man Group has added 37p or 1.53% to £24.57 after investment bank Deutsche raised its share price target to £28.20 from £26.20, keeping a "buy" recommendation on the stock.
Schroders is up 18p or 1.74% to £10.51, boosted by firmer global equity markets.
BP has also added 4.5p or 0.7% to 629.5p after crude oil futures rose 0.7% to $70.8.
Meanwhile, GlaxoSmithKline has fallen 4p or 0.3% to £14.92 on reports the company plans to bid more than $15bn for Pfizer's consumer health care unit.
In Japan, the Nikkei 225 Stock Average climbed 285.57 points, or 1.8%, to 15,789.31 points by close of business after oil prices fell and US data eased concern the Federal Reserve will keep raising interest rates.
Sony jumped 180 yen or 3.6% to 5,160, Toyota climbed 100 yen or 1.7% to 6,120 and Matsushita Electric Industrial advanced 65 yen or 2.6% to 2,540.
On the downside, Orix, Japan's largest non-bank lender, slid 2,150 yen or 6.6% to 30,450 after plunging as much as 12%. Orix sold its 45% share in MAC Asset Management on 15 May.
Inpex Holdings dropped 21,000 yen or 2.2% to 949,000 after Iran's oil minister said the oil explorer may be removed from the $2.5bn Azadegan oil project because of a lack of progress.
In the US, the Dow Jones industrial average climbed 91.97 points or 0.82% to end at 11,260.28 points yesterday as investors took advantage of the recent sell-off by buying shares of health-care companies and bank stocks.
Shares of drugmaker Merck rose 1.5% or 51 cents to $33.80, while those of rival Pfizer gained 1% or 24 cents to $23.90.
JPMorgan rose 2.2% or 94 cents to $43.58 and Citigroup rose 1.1% or 53 cents to $49.83.
Industrial stocks also rebounded, with shares of aluminum producer Alcoa up 2.7% or 85 cents to $32.57.IFAonline
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Launching later in 2019
£80bn funds under calculation