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FTSE closes up 1.2 pct; miners, oils surge

Mon Nov 2, 2009 10:43pm IST
 
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* Miners and energy firms gain on stronger commodity prices

* Stong manufacturing from U.S. and China lift sentiment

* RBS down as lender faces forced sales

By Harpreet Bhal

LONDON, Nov 2 (Reuters) - Britain's top shares closed 1.2 percent higher on Monday, as miners and oil firms rose, underpinned by firmer commodity prices on the back of bullish economic data, while RBS fell as the lender faces asset sales.

The FTSE 100 .FTSE closed 59.95 points higher at 5,104.50 points, recouping some losses from Friday's 1.8 percent fall.

The index was down 1.7 percent overall in October, the first monthly drop since June, but is still up about 48 percent since its March low.

Miners were supported by strong manufacturing data from the United States and China which reinforced the view that a recovery in demand was under way. Eurasian Natural Resources (ENRC.L: Quote, Profile, Research), Vedanta Resources (VED.L: Quote, Profile, Research), Lonmin (LMI.L: Quote, Profile, Research) and Rio Tinto (RIO.L: Quote, Profile, Research) rose 4.5 to 5.5 percent.  Continued...

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