A pre-Christmas rally ensured the London market closed on a festive note today as the likes of oil giant BP and Johnnie Walker owner Diageo put in a resilient performance.
The FTSE 100 Index closed 1% or 55.7 points higher at 5,512.7 despite nagging fears over the eurozone debt crisis and a looming recession on the continent.
BP shares were higher for a second successive session amid speculation that it may soon raise its dividend to a level closer to the rate it paid prior to the Gulf of Mexico disaster.
Shares were 2% or 9.4p higher at 459.7p while Royal Dutch Shell was 19.5p higher at £24.27 and BG Group added 13p to 1,348.5p.
Other risers in the top flight included Diageo, which lifted 20p to £13.78, while mobile phone giant Vodafone was 2.8p higher at 176.3p.
The cloud of the eurozone debt crisis still hovered over the market after banks from within the 17-nation currency bloc stashed £289 billion with the European Central Bank amid fears of another credit crunch.
The ECB announcement damaged sentiment towards the banking sector with Lloyds Banking Group topping the fallers’ board, down 0.2p at 25.7p, and Royal Bank of Scotland off 0.1p at 20.5p.
The biggest FTSE 100 risers were Tullow Oil up 41p at £13.85, Smith & Nephew ahead 15p at 606p, National Grid up 15p at 618p and Reed Elsevier ahead 12.5p at 516p.
The biggest Footsie fallers included Fresnillo down 5p at £15.34 and Serco off 1.3p at 468.6p.
Elaine McLachlan, of investment manager and financial planning specialist Brewin Dolphin in Inverness, noted that risers included EnQuest up 2.43% at 90.33p, Faroe Petroleum rising 2.28% to 156.63p and oil and gas support services company, Amec gaining 2.15% to 902.5p.
Fallers included regional newspaper publisher, Johnston Press off 3.15% at 5.25p, soft drinks manufacturer and distributor, A.G. Barr falling 1.37% to 1,228.5p and technology hardware & equipment firm, Wolfson Microelectronics off 1.13% at 128.13p.