With no market moving economic or major corporate announcements pencilled in for today, it appears investors are out bargain hunting after five trading days of losses.
The FTSE 100 was up by nearly 50 points or 0.85% at 5816.9 by lunchtime, trying to maintain gains from a healthy opening this morning.
It was the insurers who were on the front line of gainers. Prudential was up 4.81%, Aviva up 2.93% and Legal & General rose 2.66%.
The vigour in the sector boded well for ailing bond insurer Ambac Financial Group ahead of the opening of US markets this afternoon.
Hopes of a deal to rescue the troubled firm pushed shares up late last night and help cut broader losses yesterday on Wall Street and it is expected to fair well today.
Meanwhile, other stocks rode on the tails of Liberty International's gains. The property firm is rumoured to be joining a rival group in a deal that could create the world's largest shopping mall. Speculation has sent shares jumping 5.5% today.
It appears this has had positive knock on effects in the world of retail and property, Hammerson Plc, the British developer that own Birmingham's Bullring and London's Brent Cross shopping centres enjoyed gains of nearly 5%, while British Land, the biggest owner of offices in London was up 3.53%.
