Better-than-expected growth in France and Germany and surprisingly strong US retail figures boosted confidence on world markets today.
The FTSE 100 Index rose 32.9 points to 5,864.8 after France and Germany both beat forecasts and recorded zero and 0.3% growth in gross domestic product (GDP) respectively between April and June.
Sentiment was further lifted after the US Commerce Department said retail sales rose in July by the largest amount in five months as Americans spent more on cars, furniture and clothes.
In corporate news, life and pensions group Standard Life was the biggest riser after revealing a significant improvement at its UK arm. Shares were 20.7p higher at 277.4p.
Water company United Utilities was up 5%, or 33.5p to 722.5p, after being boosted by reports that an infrastructure consortium including Qatari and Abu Dhabi funds was mulling a takeover bid.
Building materials group CRH saw shares slide 5% however, as poor weather and tough economic conditions hit trade in the first half of the year.
Underlying earnings fell 1% at the Irish firm to £447million in the six months to June 30 as the construction sector continued to suffer. Shares were down 59p to £11.60.
Outside the top flight, shares in London cab-maker Manganese Bronze fell 34% after it said its first half net losses were expected to be “substantially higher” than reported last year. Shares fell 8.5p to 16.5p.
The biggest Footsie risers included Standard Life up 20.7p at 277.4p, Pennon up 31p at 766.5p and Severn Trent ahead 58p at £17.66.
Among the biggest Footsie fallers were Eurasian Natural Resources off 7.7p at 414.7p, Vedanta Resources down 17p at 960p and Fresnillo off 19p at £15.45.
Alan MacPhee, of investment manager and financial planning specialist Brewin Dolphin in Aberdeen, noted Wolfson Microelectronics was up 2.79% to 224.75p and A.G. Barr rose 1.85% to 456.55p.
On the fallers board, Faroe Petroleum lost 1.15% to 151p, Cairn Energy gave up 0.96% to 297.9p and EnQuest slipped 0.95% to 115.85p.