FTSE 100 climbed 8% in April

The FTSE climbed in afternoon trade to post its best monthly performance since April 2003 thanks to an apparently gloom resistant US market.

Despite dismal GDP figures yesterday, record unemployment levels, falling consumer spending and Chrysler's fall into bankruptcy today, the DJIA was up 93.66, or 1.14%, at 8,279.39 as UK markets closed.

The S&P 500 was up 12.23 points, or 1.40%, at 885.87.

Back in the UK, the FTSE 100 finished the day up 54.12 points, or 1.29%, at 4243.71 and the FTSE 250 closed up 170.97 p[points, or 2.32%, at 7528.95 as optimism swept across London's trading floors.

'Today’s rally comes despite record continuing jobless claims in the US,' said David Evans, market analyst at BetOnMarkets.com. 

'It is thought that the decline in the four week average of weekly claims is pointing to a peak. Investors know they aren’t out of the woods yet, but perhaps what we’re seeing at the moment is a belief that financial Armageddon has been averted.'

For the month, the UK's blue chip index is up more than 8% higher and up more than 20% since March lows.

Winners outstripped losers by nearly 2 to 1.

And financials posted more double digit gains after a week of bullish analyst notes.

Barclays - which is back on a number of buy lists this week - was up another 25p at 281.5p amid talk it may sell yet more assets. RBS too was being boosted by disposal news. Shares led the pack, up 5p at 42.3p.

HSBC continued to lag, up only 13.2p at 478.5p.

Elsewhere, BSkyB was up 21.75p at 486.75p after its strong numbers.

Kazakhmys rose 24p to 535p, Antofagasta added 439.5p to 592.5p and Anglo American moved up 39p to £14.81 after their production updates and as a recovery in Japanese industrial production and new optimism about the global economy fuelled hopes of increasing demand.

AstraZeneca shares were up more than 6% in lunchtime deals after the group reported better than expected first quarter sales and earnings.

It finished the day down 58p at £23.85 as it stuck to its full year guidance, bringing focus back on group's future struggle to grow in the face of increasing competition from generic companies.