FTSE 100 Nears 6800 As Commodity Stocks Rally

(RTTNews) - U.K. shares bounced back from their worst weekly performance post-Brexit, as oil prices bounced back from multi-week lows on talk of an OPEC deal to limit output and reports of fighting at Libyan oil ports.

Benchmark U.S. crude futures jumped about 2 percent during European hours after Venezuelan President Nicolas Maduro said on Sunday that a deal between OPEC and non-OPEC countries to stabilize oil markets could be announced this month.

This week is dominated by central bank meetings, with both the Fed and the BOJ beginning their two-day policy meetings on Tuesday.

While most economists expect a status quo in Fed review, the Bank of Japan may consider expanding its monetary stimulus at the Sept. 20-21 meeting.

The benchmark FTSE 100 was up 89 points or 1.33 percent at 6,799 in late opening deals after closing 0.3 percent lower in the previous session.

Energy stocks Tullow Oil, BP Plc and Royal Dutch Shell climbed about 2 percent each, while miners Anglo American, BHP Billiton, Glencore and Rio Tinto jumped 3-4 percent.

Rolls Royce Holdings advanced 2 percent on reports that it is reducing more than 200 positions from its middle management.

Weir Group gained 3.5 percent after analysts at JP Morgan upgraded their rating on the stock to 'overweight.'

Dairy Crest shares fell 2.5 percent. The cheese and butter maker warned that sudden cost inflation across all dairy markets will likely have an impact on butter volumes and margins in the second half.

Likewise, outsourcing firm Mitie Group slumped as much as 25 percent after a profit warning.