FTSE gets a boost from China export data
By Alistair Smout and Kit Rees
LONDON (Reuters) - Britain's top share index rose on Wednesday, led by mining and banks stocks, as strong Chinese export data helped to subdue concern over growth in the world's second-largest economy.
China's exports rose in March for the first time in nine months, a sign of economic stabilisation in the world's largest consumer of many commodities.
That lifted metals prices and mining stocks, with the sector <.FTNMX1770> up 6.9 percent. Oil and gas shares also rallied, as Brent crude remained over $44 a barrel [O/R].
"Commodity prices continue to march higher and that is very much dictating the pace for the markets," said Tony Cross, market analyst at Trustnet Direct.
BHP Billiton rose 9.2 percent. Plans to cut jobs at a copper mine in Chile also helped the shares.
Asia-exposed banks Standard Chartered and HSBC rose 10.6 percent and 6.7 percent respectively.
Standard Chartered is also set to become one of 18 members to join China's yuan-denominated gold benchmark, the Shanghai Gold Exchange said.
Britain's FTSE 100 rose 120.50 points, or 1.9 percent to close at 6,362.99 points, its highest level in more than four months. Financial firms, mining companies and energy stocks combined added more than 100 points to the index's rise.
Tesco fell 7.8 percent after its full-year results beat expectations. Britain's biggest retailer also reported its first quarterly sales growth for three years, but it was cautious on its near-term outlook and said a price war in the sector would put pressure on profits.
"Its outlook disappointed investors as the growing spectre posed by discounters Aldi and Lidl remains," said Russ Mould, Investment Director at AJ Bell.
Outside the blue chips, Premier Foods slumped 26.8 percent after U.S. spice maker McCormick called off its takeover proposal for the British food company. Premier remains up around 36 percent since March 23, when it rejected McCormick's initial bid.
(Reporting by Alistair Smout,; Editing by Larry King and Raissa Kasolowsky)
