Surge for FTSE

The FTSE 100 Index pushed ahead today as investors celebrated positive figures from blue-chip companies Prudential and Morrisons.

The pair both stood 2% higher as the top flight index returned to growth with a gain of 14.3 points to 5270.5 by mid-morning.

An uneventful day’s trading in New York helped the mood, while a better-than-expected earnings update from online retailer Amazon after the closing bell contributed to higher confidence in Europe.

The positive performance of Prudential, which posted a 31% hike in half-year profits, helped a clutch of UK insurers into positive territory.

While the Pru gained 9.25p to 533.75p, Friends Provident cheered a penny to 186.5p and Norwich Union owner Aviva rose 10p to 646.5p.

The gains were matched by Morrisons after the supermarket group offset some of its recent troubles with news of a 5% rise in like-for-like sales. With the company also sticking by recently-lowered profits forecasts, shares lifted 3p to 190p.

On a weaker note, telecoms stocks gave back some of yesterday’s gains with O2 the main casualty after a major US investors placed shares for sale worth more than £500m (€724.5m). O2 slipped 5.25p to 137.5p – a drop of 4% – while Vodafone lost 1.75p to stand at 147p.

Outside the top flight, Egg shares rose 2.25p to 122p as the online bank returned to the black and investors learned that owner Prudential was keeping its options open over the possible sale of its 79% stake.

Among other companies in the news today, United Business Media rose 14.75p to 542.25p after half-year figures came in ahead of expectations.

Avis Europe was another on the up – a penny stronger at 51.5p – as investors expressed relief that the car rental firm had attracted a healthy response to its rights issue.