The FTSE was buoyed by big gains by financial stocks this afternoon after a positive note from Deutsche Bank.
The German Bank put a ‘buy' rating on the three and £4 target on Barclays, 70p for Lloyds and 50p for RBS.
The biggest winner was RBS which saw its share price rise 10.2% to 35.40p.
Lloyds also made afternoon gains of 4.1% to 54.4p, with Barclays shares rising 6.8% to hit £2.99 per share.
Investment manager Man Group also did well, seeing gains of 4% to £3.25.
The index closed up 22 points at 5,522.
In the US, the Dow Jones dropped sharply in response to significantly worst than expected home sales data.
The Pending Home Sales Index (PHSI), which measures change in housing contract activity and is a leading indicator of the health of the US housing market, fell 16% month on month. Forecasts had predicted a drop of just 2.8%.
However, after falling almost 54 points to 10,530, stocks rebounded following a Commerce Department report showing factory orders improved twice as much as expected in November.
Standard & Poor's 500 Index gained 0.1% to 1,133.76 at 10:23 a.m. in New York.
$17trn of debt is now ‘paying’ a negative yield
47 million Brits without financial advice
Faces substantial prison term
General election on 12 December