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FTSE turns around after reopening following worst week in a year

The index was pushed higher by British Airways owner International Airlines Group (IAG), which soared, with shares closing up 13.9p to 468.6p as more passengers chose the airline in September

The City of London(Image: PA)

The FTSE 100 turned around the Monday morning blues to end in the black after reopening following its worst week in nearly a year.

Britain's blue-chip index rose 42.5 points to end the day on 7197.88, after falling as low as 7132.98 earlier.

The top flight of companies managed to shrug off the morning's worries after it opened down nearly 16 points, adding to a 270-point loss last week.

The index was pushed higher by British Airways owner International Airlines Group (IAG), which soared, with shares closing up 13.9p to 468.6p as more passengers chose the airline in September.

Markets in Europe had been posting modest gains as investors look forward to trade talks between the US and China, which are set to continue on Thursday.

Germany's Dax rose 0.7%, while French index Cac was up 0.61%.

"The mood is one of cautious optimism even though it appears that China are not overly eager to strike a broad trade deal," said David Madden, an analyst at CMC Markets.

He added: "It was reported the Chinese government are not willing to compromise on topics like industrial policy as well as government subsidies, but that's not to say that progress can't be made in the talks."