FTSE 100 rises on US plan

Tuesday 24th March 2009, 9:27AM GMT.

FTSE 100 rises on US planThe FTSE 100 edged closer to the 4,000 mark in early trading, climbing ten points to 3,962.96 by 08:45 GMT.

The jump follows last night’s rally on the US stock markets, which recorded the biggest one-day rise since last year after the government revealed details of a plan to rid the economy of toxic debt.

Financial stocks benefited from the news, with Royal Bank of Scotland up 7.6 per cent and Lloyds Banking Group up 7.15 per cent, while Barclays rose 6.26 per cent.

Mining stocks offset the gains, with Xstrata falling 4.48 per cent, Rio Tinto down 4.23 per cent and Kazakhmys down 3.11 per cent.

Investors are eyeing inflation figures released later this morning, which are set to show the UK has fallen into deflation.



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