FTSE celebrates liquidity boost

Cairn Energy shares added 223 points (8.06%) to £29.89 on speculation it may receive an approach from an Italian energy firm, while Prudential gained 36 points (5.78%) to 658.5p. Yell Group saw shares fall 7.9 points (4.28%) to 176.6p, while Xstrata continued to perform badly, dropping 92 points (2.4%) to £37.42 as a potential buyer was rumoured to be dropping its approach. On Wall Street, markets received a major boost as the Federal Reserve announced it was making $100bn available at auction, sending the Dow Jones up 143.53 points (1.22%) to 11,883.68. Alcoa made the biggest gains, ...