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FTSE 100: 6750.76, +71.86 (1.08%)

Fri close: China helps FTSE surge

London enjoyed a positive end to the week after China surprised the markets on Friday morning with a cut in interest rates in order to stimulate stalling growth.

Traders responded bullishly to the news which helped shrug off a warning that UK chancellor George Osborne will miss his borrowing targets.

The FTSE 100 rose 72 points or 1% to close at 6750.76.

Energy stocks rose on speculation that Opec will cut production next week. Tullow Oil was up27.7p at 505p, while Glasgow-based oil services group Weir halted a recent slide to progress 82p to 2112p. BG was up 23p to 1069p,  Shell gushed 38p to 2391p and BP 6.85p to 448.2p.

Royal Bank of Scotland fell 2.9p to 377.7p as news emerged just before the market closed that it had made an error in calculating its capital ratio for the latest round of stress tests in Europe.

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