Financial and commodity companies helped the FTSE 100 climb 60.35 points this morning (1.44%) to reach 4,262.59 by 8.50am.
Schroders and London Stock Exchange Group led the way with both rising by 4.85% and 4.57% respectively.
Positive market sentiment on Schroders comes after the fund manager announced yesterday that its pre-tax profits fell to £123m last year, from a little over £390m in 2007.
Schroders put £167m of the reduced profit down to exceptional items, including losses on assets because of pan market deterioration and redundancy costs.
Traders' views on London Stock Exchange Group come ahead of the expected announcement that the group will confirm Xavier Rolet as its chief executive to replace Dame Clara Furse.
Mining group Xstrata rose by 33 points (4.51%) with its shares worth £7.65 while copper producer saw its share price increase by 13.25 points (4.47%) to be valued at £3.09 per stock.
Tate & Lyle has been the morning's biggest loser and it fell by 2 points (0.59%) with its shares worth £3.35.
In the US, the Dow Jones ended the day down 6.77 points (0.09%) to reach 7,932.76.
Coca Cola was the index's biggest winner, up 3.12 points (7.56%). This came after the soft drinks group reported Q4 profits down by 18% to $995m (£698m) against $1.21bn a year earlier. However, its adjusted earnings figure still beat Wall Street estimates and its case volume grew.
Bank of America was the market's largest loser and was down 0.2 points (3.2%).Investment Week
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