The FTSE 100 share index rose 75.3 points to 5,906.9 (up 1.3 per cent) on Tuesday on what was a good day for retailer Tesco.
Tesco reported an 11 per cent rise in profits in 2007 on Tuesday, taking the groups shares up over 7 per cent. Home Retail and Carphone Warhouse however fared less well both losing 3.7 and 13.3 per cent respectively.
Drugmaker AstraZeneca also did well, going up 7.0 per cent after news that it had settled patent litigation with Indian firm Ranbaxy Laboratories.
Commodities performed well with gas company BG Group up 5.4 per cent. Royal Dutch Shell and BP were also up 1.7 and 0.6 per cent respectively. Cairn Energy also rose 2.6 per cent.
Among miners BHP Billiton, Eurasian Natural Resources and Rio Tinto all rose 3.2-5.0 per cent each.
Credit information firm Experian rose 1.1 per cent.
British Airways however fell 3.3 per cent following news that two of its senior managers were leaving the company, following the chaotic opening days of its new Terminal 5 at Heathrow airport.