The FTSE 100 has ended the day up 56.5 points, or 0.96%, to 5930.1 with Alliance & Leicester posting the biggest gains.
Miners kept the FTSE well ahead for most of the day with Anglo American up 3.64% to £22.20, closely followed by Antofagasta which climbed 3.46% to 448.5p, although it was bank Alliance & Leicester which performed the best with a rise of 3.82% to £11.13.
Scottish & Southern Energy also ended the day well with gains of 3.48% to £13.10, while steelmaker Corus Group added 3.38% to 390p, although gains were limited by Compass Group which was the biggest drag on the FTSE with a drop of 2.53% to 269.25p.
Tate & Lyle also performed poorly with a drop of 1.76% to 727.5p, closely followed by ITV which slipped 1.5% to 98.75p, while Smiths Group fell 1.86% to 870p, and Morrison Supermarkets completed the top five losers with a drop of 1.59% to 247.5p.
In the US the Dow Jones Industrial Average is up 33.45 points, or 0.29%, to 11,702.84, following an unexpected rise in August new home sales.
Intel has posted the biggest gains so far with a rise of 2.81% to $20.53, closely followed by General Motors which is up 2.71% to $32.26 after announcing talks with Renault-Nissan to create a global alliance will continue until mid-October.
Shares of McDonald's are also up 2.02% to $39.85, after it raised its annual dividend by 49% to $1 a share, while Altria Group is up 1.78% to $77.11 and Honeywell International has jumped 1.56% to $41.08.
However Verizon Communications is the biggest drag on the Dow with a drop of 1.19% to $37.51, closely followed by AT&T which is down 0.6% to $33.15, while American Express has slipped 0.57% to $55.64, and United Technologies is down 0.49% to $63.30.IFAonline
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