LONDON (ShareCast) - (ShareCast News) - The FTSE 100 index built on a strong start on Tuesday, rising 1.5% to 6,162.86 points by mid-afternoon with the financial sector leading the charge.
Pensions and investment company Hargreaves Lansdown, which is due to publish results on Wednesday, and Aberdeen Asset Management tussled for the largest gain, with fellow financial peers Prudential, Schroders, Standard Life and Old Mutual also strong risers.

Asia focused banks Standard Chartered and HSBC also were high on the leader-board, as sentiment on the region rose on overnight Chinese trade data, which saw exports not as bad as expected and a sharp imports decline that could trigger more stimulus from Beijing. HSBC was also upgraded by analysts at Shore Capital.

Traders and analysts cited a general "risk-on" attitude of the session on the stimulus expectation and continuing China uncertainty that may see the US Federal Reserve hold off from a September rate rise.

Mike van Dulken, head of research at Accendo Markets, said the sector would be benefiting from upward revisions to eurozone and Japanese GDP offsetting some of global growth worries, while Sumitomo's high-multiple deal for Amlin would lift sentiment towards insurers.

He also noted that several major brokers have been pretty bullish on global markets, with Goldman Sachs dismissing China worries, Morgan Stanley's recent "full house" buy alert earlier on international stock markets for the first time since early 2009, plus Societe Generale and Deutsche Bank agreeing that the selloff is overdone.

Chris Beauchamp, analyst at IG, added: "Certainly the asset managers are doing well as the buy-the-dip crowd keep coming in. If you're assuming the bull run is going to keep going then makes sense to do some shopping in the sector now."

For the second day running, United Utilities was lifted by a bullish broker note. Tuesday's benevolent souls were the analysts at Societe Generale, who upgraded the stock to 'buy' from 'hold'.

There was only one significant faller on Tuesday, with Costa coffeeshops and Premier Inns owner Whitbread disappointing investors with news that second-quarter sales slowed from the first. The group also hit the headlines with a warning that in order to cope with the recently announced National Living Wage it would have to raise prices.



FTSE 100 - Risers
Hargreaves Lansdown (HL.) 1,128.00p +3.58%
Aberdeen Asset Management (ADN) 318.20p +3.28%
Standard Chartered (STAN) 723.00p +3.08%
United Utilities Group (UU.) 873.50p +2.52%
HSBC Holdings (HSBA) 505.90p +2.41%
Prudential (PRU) 1,394.00p +2.39%
Schroders (SDR) 2,829.00p +2.24%
Standard Life (SL.) 417.30p +2.20%
Johnson Matthey (JMAT) 2,688.00p +2.13%
Old Mutual (OML) 189.40p +2.10%

FTSE 100 - Fallers
Whitbread (WTB) 4,597.00p -2.42%
Antofagasta (ANTO) 603.00p -0.66%
Sports Direct International (SPD) 779.00p -0.19%
Next (NXT) 7,605.00p -0.13%
Ashtead Group (AHT) 980.50p -0.05%
Randgold Resources Ltd. (RRS) 3,724.00p -0.05%

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