FTSE up slightly

The FTSE 100 Index held on to gains seen in Tuesday's bounce-back today as heavyweight stocks lent their support.

London's FTSE 100 Index held on to gains seen in Tuesday's bounce-back today as heavyweight stocks lent their support.

Record gold prices saw commodity shares race to the top of the risers board, while gains among blue chips such as Vodafone also helped the Footsie consolidate yesterday's 2.3% surge.

The top tier closed 15.2 points higher at 5327.4 as investor confidence continued to hold up amid relief over the global impact of Dubai's debt crisis.

The Dow Jones Industrial Average on Wall Street was pausing for breath in early trade after it too rallied in the previous session - closing at its highest level since October last year as global markets shrugged off fears over debt-ridden Dubai.

There was little in the way of corporate news, but a new high for gold prices put the spotlight on miners again in London.

Gold hit around $1,217 an ounce as the US dollar continued to be snubbed by investors, which saw Lonmin leap to the top of the risers board with a 3% gain, up 60p to 1911p.

Rio Tinto and Vedanta Resources followed its lead, with gains of 82p at 3292p and 59p at 2445p respectively.

Software group Sage was another top riser - up nearly 3%, or 6.4p to 221.1p - after the group reported a 2% fall in pre-tax profits, but said it was encouraged by a contract renewal rate of 81%.

A more than 2% gain for blue chip Vodafone also saw the mobile phone giant earn its place on the leaders board, up 3.05p at 143.05p.

Royal Bank of Scotland was one of the top flight's biggest fallers - down 2% - after the Times newspaper said the Treasury had demanded control of Royal Bank of Scotland's bonus pot.

As part of the terms of its deal to insure bad debts, the Government wants to dictate both the "quantum and shape" of the payouts at the bank for 2009. This fuelled fears about RBS's competitive position as shares slipped 0.72p to 33.55p.

Fellow part-nationalised lender Lloyds Banking Group also fell 2%, or 1.04p at 53.1p.

Other banks - which have all come under pressure as investors fret about potential losses if there are debt defaults from Dubai - were also lower, with HSBC down 3.3p to 722.7p.

A raft of stocks also slipped as they turned ex-dividend, meaning that new investors are not entitled to the next shareholder payout.

This hit National Grid, down 15.5p at 652.5p, utility giant Severn Trent, which eased 19p to 1030p and Primark parent Associated British Foods, down 12p at 797p.

The biggest Footsie risers were Lonmin ahead 60p at 1911p, Sage Group up 6.4p at 221.1p, Autonomy up 38p at 1480p and Rio Tinto up 82p at 3292p.

The biggest Footsie fallers were Cairn Energy down 82p at 3064p, London Stock Exchange off 19.5p at 745.5p, National Grid down 15.5p at 652.5p and Legal & General down 1.65p at 75.7p.