FTSE 100

European markets rallied this afternoon after a cautious start to the week as commodity prices rebounded.

The FTSE 100 is ahead in early trading after near triple-digit losses at the end of yesterday's session, supported by banks and miners.

ON UK INCOME

The FTSE 100 opened higher this morning as the index began clawing back yesterday's losses as the Irish banking stress tests pushed investors to sell.

The FTSE 100 remains on track to make gains for the sixth day in a row, with miners powering ahead.

UK blue chip shares saw losses at opening following declines overnight in global markets.

The Japanese yen hit a record postwar high against the US dollar this morning, reaching 79.32, although commentators expect the rally to be temporary.

UK blue chips made small gains in early trading after heavily sold-off Japanese shares ended a three-day rout to climb sharply overnight.

UK shares fell nearly 2% at opening after a third explosion at the Fukushima nuclear power plant in Japan sent the Nikkei tumbling overnight.

Rathbones' CIO Julian Chillingworth has forecast the FTSE 100 to hit 6,350 by the end 2011, a 6.8% increase on last week's 5,900 mark.