FTSE streaks ahead
An improved outlook on the crisis in Libya and a raft of positive blue-chip updates saw the FTSE 100 Index break back through the 6000 barrier today.
The FTSE 100 Index closed 90.2 points higher at 6005.1 after reports suggested the President of Venezuela, Hugo Chavez, who is known to be close to Libyan leader Muammar Gaddafi, was trying to broker a deal to restore peace to the North African state.
Oil prices, which have soared in the last few weeks, calmed - with London Brent crude pulling back more than 1% to $114 a barrel.
The impact of softer oil prices was reflected on an extensive risers' board with Thomson Holidays owner TUI Travel up 12p at 243.1p and British Airways owner International Consolidated Airlines ahead 6.1p at 232.3p.
Elsewhere, further cheer was provided by the US Labor Department, which said first-time claims for unemployment benefits dropped to 368,000 last week, when economists had expected a rise to 398,000.
In Brussels, a hawkish statement from the president of the European Central Bank hinting at a possible interest rate hike next month saw the euro surge against the pound and dollar. Sterling stood at 1.16 against the single currency and down at 1.62 against the dollar.
However, the big development of the session involved BSkyB after Culture Secretary Jeremy Hunt gave his provisional backing to News Corporation's planned takeover of the broadcaster.
With News Corp agreeing to spin off Sky News but retain a 39% stake, investors took the view that a deal for BSkyB had moved a step closer. Shares rose nearly 3% or 24p to 823p, even though the Financial Times said those BSkyB investors hoping for more than 750p to 800p a share were likely to be disappointed.
In another busy session for corporate news, shares in insurance giant Aviva pushed higher after it posted a better-than-expected rise in operating profits.
The group saw profits increase by 26% to £2.55bn (€2.97bn) in the year to December 31, slightly ahead of forecasts as shares rose 7.6p or 2% at 457.3p.
Outside the top flight, JJB Sports was once again on the back foot after the ailing retailer revealed it had offered landlords a pay-out of up to £7.5m (€8.75m) in a bid to push through a deal that could see 89 stores close as it battles to stave off administration. JJB shares fell 3.3p to 17.8p.
Taylor Wimpey cheered investors with its full-year results as it announced a return to the black and saw shares lift 2p to 41p.
The housebuilder, which has shifted its focus onto maximising the value of each home sold, reported pre-tax profits before exceptional items of £75.1m (€87.5m) in 2010, against losses of £96.1 million the previous year.
The biggest Footsie risers were IMI up 58p at 943p, Amec ahead 61p at 1190p, TUI Travel up 10.7p at 241.8p and Weir Group ahead 68p at 1770p.
The biggest Footsie fallers were Autonomy down 17p at 1657p, African Barrick Gold off 4.5p at 577.5p, Investec down 3.5p at 466.1p, and Standard Life off 1.7p at 230.8p.
