The London market closed above the 5,900 mark for the first time in more than six months today after a report from the OECD raised hopes the global recovery had reached a positive turning point and a historic vote in Greece eased fears in the eurozone.
Riskier assets were in favour amid relief that Greece’s parliament approved the austerity measures needed to secure fresh bailout funds, while the OECD said positive momentum had been reached in key global economies.
The improved mood saw the FTSE 100 Index close 53.3 points higher at 5,905.7, and miners were the driving force behind the rally – Eurasian Natural Resources was up 17.5p to 702p, Kazakhmys improved 15p to £11.39 and Anglo American gained 70.5p to £28.17.
Lloyds Banking Group was the pick of the banks, rising by 0.8p to 35.2p, after Greece’s successful vote reduced the prospect of the country’s exit from the single currency.
Corporate news was dominated by Vodafone’s interest in Cable & Wireless Worldwide (CWW). CWW shares surged 46% or 9.2p to 28.9p, while Vodafone was up 1.8p at 174.4p as analysts pondered a potential move to develop a significant global network for fixed-line services.
The biggest Footsie risers included Evraz up 12.9p at 424.9p and the biggest Footsie fallers were Carnival down 49p at £19.13, Polymetal off 24p at £11, International Airlines Group down 2.5p at 175.3p and Glencore off 5.95p at 429.3p.
Alan MacPhee, of investment manager and financial planning specialist Brewin Dolphin in Aberdeen, noted Xcite Energy up 9.79% at 104.1p, with Parkmead adding 2.48% to close at 15.1p. Amec finished the day 1.55% higher at £11.12.
The day’s fallers included Aberdeen-based Faroe Petroleum down 2.94% to 164.9p, with Plexus off 2.37% to 103p and Stagecoach dropping 1.52% 265.8p.