The FTSE 100 index closed 50.7 points, or 0.9%, higher at 5,889 points today with strong performances from the banking sector.
Royal Bank of Scotland gained 0.99% to £17.36p - having earlier in the day fallen back 0.5% - after it reported a better than expected 23% increase in half-year profits to £4.51bn.
Northern Rock added 3.35% to £11.25, Barclays rose 2.67% to 635.50p and Alliance and Leicester gained 2.11% to £10.16.
PartyGaming rose 9.09% to 120p as it continued to gain applause for yesterday’s acquisition of Gamebookers.
AngloAmerican also leapt 4.81% to £23.30 after it said underlying earnings for the first half leapt 47% to a record $2.5bn and it announced an additional $4bn buyback with a $1bn special dividend.
In the US, the Dow Jones Industrial Average is currently up 66.20 points, or 0.6%, at 11,308.79 points as investors predict an unexpected slowdown in job growth last month will cause the Federal Reserve to stop raising borrowing costs.
Bank of America has risen 50 cents to $52.47, Citigroup has added 39 cents to $48.86 and D.R. Horton has jumped 82 cents, or 3.6%, to $23.44.
Goodyear Tire & Rubber has risen 77 cents, or 7%, to $11.84 after it said second-quarter profit was 37 cents a share, more than double the 18-cent average estimate of analysts in a Thomson Financial survey.IFAonline
An ambitious objective
'Something completely new'
'Illusion of control'
Reasons to be cheerful
Total investment reaches £9m