After yesterday's dramatic decline, the FTSE is recovering some of the ground that was lost, but the index looks headed for a quarterly decline of around 13%.
By 11am, the FTSE 100 index was trading 34.95 points (+0.71%) higher, at 4949.17. The broader FTSE 250, after an initial decline, was also on the up, currently 33.54 points (+0.36%) ahead at 9398.83.
In Europe, the leading continental indices have generally spent the morning above the line, but neither seems to have settled on any particular direction for the day. After a mostly positive start to the day, France's Cac 40 has climbed to 3452.32, up 20.33 points (+0.59%), while the Dax in Germany has done similarly and was trading at 5976.05, up 24.02 points (+0.40).
Weak US data and mounting global economic uncertainty saw the FTSE slump more than 3% yesterday. The index fell around 157 points to finish at 4914, its lowest closing level since 4 September 2009. It was also the first time in more than a month that London had closed below 5000. As we come to the end of the second quarter, the FTSE looks set for a quarterly decline of around 13%.
UK stocks advanced in early trading this morning, however, led chiefly by a rampaging AstraZeneca. The UK's second largest pharmaceuticals manufacturer won a court ruling in the US that will protect one of its products from cheaper copies flooding the market. News of the victory saw its share price rise 269.50p (+9.14%) by 11am. The US court ruled that AstraZeneca's patent on its cholesterol pill, Crestor, is 'valid and enforceable' until 2016.
Pharmaceuticals peer GlaxoSmithKline was also seen near the top of the leader board in mid-morning trade, up 12p (+1.07%).
The top of the FTSE leader board is a 'who's who' of the energy, banking and mining sectors. BP is currently 23p (+7.59%) to the good, while Essar Energy, Petrofac and Cairn Energy are also all well in the black.
After the talk of banking reform that emanated from the weekend’s G20 Summit, and the troubles yesterday caused by uncertainty over Chinese growth prospects, banks have recovered well so far today. Barclays (+3.14%), Lloyds (+2.86%) and RBS (+2.18%) are all performing well this morning.
Miners too are proving popular, with all of Vedanta Resources, Randgold and Fresnillo up.
At the other end of the table, Man Group is weighing most on the index, down 16.50p (-6.84%), while Invensys and Intercontinental Hotels Group are also down more than 3%.
The ONS announced that there will be a delay in the delivery of the third and final estimate of UK first-quarter GDP figures, originally expected this morning at 9.30am. This delay has been attributed to a 'potential error'. The Office's last estimate of 0.3% growth is expected to remain unchanged, but the 'potential error' has called into question the reliability of the data.
Looking ahead, this afternoon we can expect the June CPI estimate from Europe, whilw June Chicago PMI data is expected in the US.
