Market round-up: Strong gains on FTSE 100 after Black Monday carnage

Aldermore plans London IPO in March to raise £75m — The London Stock Exchange Reuters

The FTSE 100 bounced back sharply gaining the most it has in a single day since 2013 following a day of large loses that rippled out from the Shanghai Composite Monday.

"Investors have been quick to seize opportunities created by Black Monday's carnage with significant moves for some of the stocks that have suffered most from China's economic slowdown," says AJ Bell Investment Director Russ Mould.

"Heavyweight miners Antofagasta and Glencore were vying for pole position on the blue-chip board with BHP Billiton and, to a slightly lesser extent, Anglo American in close proximity. Rises in Billiton and Antofagasta's shares came despite sharp falls in their full year and interim figures."

BHP Billiton posted a 52% cut to its profits over the past year prompted by weak commodity demand. However, the company showed it is repositioning to cope with the market.

The market gained 3.09% to close Tuesday 25 August at 6,081.34p after falling -4.67% Monday — a difference of 183 points.

RSA Insurance's shares were up after Swiss insurance giant Zurich made a long-awaited takeover approach. A deal worth 550p per share values RSA at around £5.6bn and is at a level which the RSA board would recommend to shareholders.

FTSE 100 biggest risers