The first day of the second quarter, and spring really is here. How else to explain the market's surge on the back of yet more huge sub-prime write-offs at leading banks?
Investors seem to be betting that another £10bn hit at UBS could somehow mark the end of the current turmoil, or at least the beginning of the end. It's hard to be so confident.
"It's nice to see some blue on the screens, and there are buyers out there coming in with new money," said one trader. "But everyone is gobsmacked about why it's quite so good."
There were signs of investors switching out of miners and into the banks, as commodity prices fell back in the wake of a rise in the dollar after better-than-expected US manufacturing figures. Gold, for example, closed at a two-month low.
So HBOS topped the FTSE 100 risers, up 44.5p to 604.5p, while Royal Bank of Scotland rose 23.75p to 361p and Barclays was 27p better at 480p.
Among the miners, Lonmin lost 75p to £29.96 and Xstrata fell 53p to £34.74. Oil also fell back, ahead of US inventory figures due tomorrow. This helped push Tullow Oil 5.5p lower to 655p.
Overall, the FTSE 100 has risen 150.5 points to 5852.6, with Wall Street up around 270 points by the time London closed.
