Strong start on Wall Street helps revive FTSE rebound

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With the US S&P 500 up 1.3% to 4,314 by 4.30pm UK time on Tuesday the recovery in the FTSE 100 from Monday's big losses regathered some of its momentum from the earlier in the day.

By the close the flagship UK index was up 0.5% at 6,881.13.

Morrisons was flat at 262p after Apollo said it was no longer planning to make a bid for the supermarket chain and was instead considering joining a rival £6.3 billion offer led by Fortress.

Fortress, owned by Japan's Softbank, already had been joined by Canada Pension Plan Investment Board and Koch Real Estate Investments for its 254p-per-share offer.

Mining titan BHP advanced 2.4% to £21.98 after after it released a mixed fourth-quarter production report that showed year-on-year declines in iron-ore and copper output, but rises in petroleum and coal production.

Budget airline EasyJet gained 0.8% to 776.2p, having posted another gaping quarterly loss that was albeit a little narrower due to a partial recovery in passenger numbers.

Looking to the fourth quarter, EasyJet said it expected to fly up to 60% of the fourth quarter of 2019's capacity, up from 17% in the third quarter.

Music and audio equipment retailer Focusrite gained 0.5% to £14.12, having forecast a full-year profit 'significantly' ahead of market expectations, thanks to rising revenue and cost cutting.

Focusrite, however, warned of supply constraints and higher freight and shipping costs.

Premium tonic group Fever-Tree dropped 7.3% to £22.71 after it issued a disappointing trading update.

Fever-Tree's first-half sales had jumped 36% but it said challenges surrounding global logistics cost pressures had hurt its margins.

Online wine retailer Virgin Wines rallied 5.6% to 208.5p on guiding for annual operating earnings and revenue 'marginally' ahead of forecasts.

Pub group Young & Co.'s Brewery ticked up 0.7% to £15.40 on announcing that trading continued to be ahead of its expectations since it announced annual results in May.

Flooring company Victoria slid 1.4% to £10.80, even as it narrowed annual pre-tax losses after it boosted sales 6.6% and its margins improved.

Digital-imaging technology group SDI gained 4.9% to 182p, having posted a rise in annual profit underpinned by acquisitions and organic sales growth.