Morning Market: Wall Street bounce gives FTSE early lift

Wall Street's near 3% bounce overnight gives share prices an early lift in London as sterling hits a 19-month high against the euro.

By 8.30am the FTSE 100 index was up five points at 5,138 and the Mid-250 index 48 points higher at 9,658.

Oils were in the spotlight again as the crude price held above $75 after China output data.

 BP recouped 15p to 380p in spite of estimates from US experts that the oil spill may have sent twice as much leaking into the Gulf of Mexico as previously thought.

Tullow regained 18p to £11.39.

GDF Suez bid speculation underpinned International Power at 305p, up 4p, but yesterday's high-flier ARM Holdings gave back 4p to 286p as dealers poured cold water on the Apple bid rumours.

Segro at 373p, Barclays 292p and Admiral Group £13.86  were other leaders to post gains of 5p to 20p, while a Morgan Stanley rating upgrades contributed to an 8p rise in Reed Elsevier at 491p.

Tesco shed 2p to 399p as an executive resigned in the wake of Sir Terry Leahy's retirement move and profit-taking knocked 60p from Randgold Resources at £60.45.

Sell advice from Goldman Sachs overshadowed United Utilities at 585p, off 3p.

Miners were mixed as the Australian prime minister rejected talk of a swift deal over his controversial mining tax.

Insurance underwriters were in focus as Brit Insurance rejected a bid approach from Apollo.

Brit jumped 147p to 875p, while Beazer at 119p, Amlin 382p and Catlin 336p rose 5p to 13p.