* Banks rally after recent sell-off
* Oils, miners buoyed by firmer commodity prices
* U.S. GDP data awaited
By Tricia Wright
LONDON, Jan 29 (Reuters) - Britain's top share index was
higher in midday trade on Friday, rebounding after a sharp
decline in the previous session, with banks and energy stocks
taking the lead as investors await U.S. GDP data.
By 1159 GMT, the FTSE 100 <> index was up 33.56 points,
or 0.7 percent, at 5,179.30, having closed 1.4 percent lower on
Thursday -- its lowest level since Nov. 6 -- weighed down by
mounting concerns about the pace of global recovery.
"(The index's) gain could easily be eradicated this
afternoon," said Howard Wheeldon, strategist at BGC Partners,
referring to the possible impact of the U.S. gross domestic
product (GDP) data.
Banks added the most points to the index, bouncing back
after recent falls, with HSBC <HSBA.L> among the top blue-chip
risers, up 2.4 percent, while Barclays <BARC.L>, Standard
Chartered <STAN.L> and Lloyds Banking Group <LLOY.L> put on 0.8
to 1.4 percent.
However, Royal Bank of Scotland <RBS.L> missed out on the
rally, falling 1.5 percent. A Philadelphia-area real estate
developer has sued RBS's Citizens Bank unit, alleging the bank
had jeopardized a $700 million project to redevelop a
steel-plant site on financing commitments. []
Energy issues were also in favour, supported by a rise in
price of the crude <CLc1> to just above $74 a barrel. Royal
Dutch Shell <RDSa.L>, Tullow Oil <TLW.L> and BG Group <BG.L>
gained between 0.7 and 1.2 percent.
Miners were also stronger, aided by a positive sector review
from Goldman Sachs, which raised target prices across the
sector.
Randgold Resources <RRS.L>, Antofagasta <ANTO.L>, Xstrata
<XTA.L>, BHP Billiton <BLT.L> and Rio Tinto <RIO.L> added 0.4 to
1.4 percent.
Among individual gainers, Whitbread <WTB.L> topped the FTSE
100 leader board, putting on 2.5 percent as brokers issued
positive comments on the leisure group following its recent
Investor Day.
International Power <IPR.L> added 1.9 percent as rumours of
corporate activity surrounding the group persisted. The power
generator recently held abortive talks with France's GDF Suez
<GSZ.PA> on a possible asset tie-up.
On the second line, Connaught <CNT.L> was the biggest
faller, dropping 8.6 percent after the support services group
announced the resignation of Chief Executive Mark Davies.
CAUTION AHEAD OF U.S. GDP
A Reuters survey has predicted that U.S. GDP expanded at a
4.6 percent annual rate, up from 2.2 percent in the third
quarter. The data will be released 1330 GMT.
On the domestic front, house prices in Britain rose for a
sixth consecutive month in December, increasing by 1.0 percent
to bring their total rise since April's low to 9.4 percent,
mortgage lender Halifax said on Thursday.
December's rise followed a revised 1.3 percent gain the
previous month and means the average property ended the year 5.6
percent higher than they started it. []
Consumer confidence in Britain rose in January, driven by
improving optimism over the outlook for the economy and personal
finances, a survey by GfK NOP for the European Commission showed
on Friday. []
(Editing by Karen Foster)
