Mining stocks put FTSE up

Steady gains by miners put the London market on the front foot today as the FTSE 100 Index looked to claw back losses after a disappointing end to April.

Oil stocks were also on the rise as investors bought back into commodity sector following some heavy profit taking last week.

It saw the Footsie regain almost half of last week’s losses as it jumped 43.4 points to 6066.5 by mid-morning, or nearly 0.75%.

Cairn Energy led the way with gains of 4% or 93p to 2419p after an upgrade from Merrill Lynch on the back of exploration and development hopes following the oil explorer’s AGM statement.

Oil giant BP was also in good shape, up 11.5p to 688p, while BG Group gained 9.5p to 746.5p.

But miners dominated the blue-chip risers board, led by Kazakhstan-based copper mine Kazakhmys, which was 36.5p higher at 1175p.

It was followed higher by Rio Tinto, up 94p to 3110p, Antofagasta, 65p stronger at 2419p, and Xstrata, which ticked 54p higher to 2038p.

British Gas owner Centrica added 5.75p to 304.5p as reports that it was in talks with Gazprom over investment in the Russian firm’s Baltic pipeline were welcomed by the markets.

Elsewhere, developments over the weekend also drove the share price of second-tier retailer House of Fraser after it confirmed it had received a very preliminary takeover approach, thought to be from Icelandic investment group Baugur.

Fraser’s shares were up by more than 6%, 7.5p to 126.5p, as the department store chain once again found itself in the takeover spotlight.

Branston pickle owner Premier Foods was another on the way up, 9.75p to 306.75p, after it revealed it was mulling takeover opportunities. McVitie’s owner United Biscuits appeared to be among its targets.

Elsewhere, HMV shares dipped 2.25p to 176.5p as Tim Waterstone dropped his attempt to buy back the book shop chain that bears his name, which is now owned by HMV.