The blue-chip index was up 60 points at 6,435 by 9:50am, as banks and commodity stocks lifted the index.

Among the winners was RBS, up 3% at 285p, as investors returned to the sold-off stock after a brutal month of losses. From 334p, the stock dived around 17% to 276p by close of play Friday, following the shock departure of Stephen Hester.

Other winners on Monday include peer Lloyds, up 2.4%, as well as BP.

The oil major’s shares are up 1.6% following the spike in the oil price last week, and despite the news the company is facing 10,000 claims a month in relation to its Gulf of Mexico oil spill, many of which it claims are fraudulent.

Gains come despite a poor start to the week in Asia, with Chinese shares beginning the week sharply in the red. Asian shares declined amid ongoing fears about the impact of the US cutting back its stimulus programme.

The country’s Shanghai Shenzhen CSI 300 index closed down 1.9% overnight, as investors fretted over the end of QE in the US in the world’s largest economy.

Other Asian indices also closed lower, with the Japanese Nikkei 225 off 0.9%, although much of this was profit-taking after a strong showing for the region last week.