The FTSE 100 was up 0.82% in early trading to 6,645 taking its cue from a continued resurgence in Asian markets rather than the US where the DJ Industrials index gave up some early gains overnight.
The Hang Seng Index closed Monday’s session 1.78% up on the day while the Nikkei 225 closed 1.77% up as investors began to recover some of their poise following a period of turmoil.
American markets cooled after an initial continuation of last week’s rally from the bottom, ahead of Janet Yellen’s first public appearance as chair of the Federal Reserve.
Appearing before the House Financial Service Committee later today, Yellen (pictured) is expected to speak about the Fed’s forward guidance regime as the unemployment rate of 6.6% approaches the 6.5% threshold for consideration of further policy normalisation.
Lawmakers will also get a chance to quiz her about the impact of weaker US growth figures and recent turmoil in emerging markets linked by many to tighter dollar supply.
Back in London at 9.13am the leaderboard was led by gold miner Fresnillo, up 3% at 889p on improved sentiment toward the commodity and reports that China was rebuilding its reserves. Barclays was the day’s biggest faller, down 1.8% at 270p as the market digested full-year numbers from the bank.