The London stock market was handed a much-needed boost following a session of fluctuating fortunes for retail and oil stocks.
Christmas sales figures from Sainsbury's that were not as bad as expected initially tempted traders into the market, while BP and Royal Dutch Shell also rose.
The FTSE 100 Index lifted 53.3 points to 6419.8, having lost nearly 200 points over the first three trading sessions of the year in the wake of concerns about Greece's future in the euro and the continued slide in oil prices.
Brent crude was trading below 50 US dollars a barrel for the first time since 2009 earlier today, although the benchmark later recovered ground to help BP rise 2.7p to 393.75p and Royal Dutch Shell to lift 27.5p to 2148.5p.
The pound extended its 17-month low against the dollar, at 1.51, after poor UK economic data earlier in the week prompted traders to bet that Britain's economic recovery may be losing steam.
But sterling was up against the euro, at 1.28, after official data showed that the 19-bloc eurozone slipped into deflation last month for the first time since 2009.
Back in London, a rare positive session for a number of supermarket stocks failed to last, despite Sainsbury's announcing a smaller-than-expected decline in like-for-like sales for the quarter to January 3.
The fall of 1.7% was welcomed as Sainsbury's shares opened 4% higher, despite the company's first Christmas sales decline in a decade and chief executive Mike Coupe's warning that conditions remain challenging.
The rally fell flat amid fears that Sainsbury's would lose out should there be a turnaround in the fortunes of larger rival Tesco under new boss Dave Lewis.
Sainsbury's shares were 5p lower at 229.6p but Tesco was 3.2p higher at 182p on hopes that the beleaguered market leader may have done better than expected over the Christmas period.
Marks & Spencer shares were also 2% stronger, up 8.8p to 463.2p, ahead of its own festive figures tomorrow.
Elsewhere in the retail sector, shares in online fashion retailer Boohoo.com slumped by 43% after it warned that full-year results will be short of expectations.
The Manchester-based business, which targets the 16 to 24 age range, said despite sales rising 25% to £50.7 million in the four months to December 7 it was hindered by high street discounting and warm autumn weather.
The City had expected full-year sales growth at roughly twice the firm's new forecasts, causing shares in the stock market newcomer to fall 16.25p to 22p.
Majestic Wine was also under pressure after the 210-strong wine warehouse business said Christmas trading was "particularly challenging" as it had to increase promotions in its stores and online to attract customers.
Like-for-like sales edged up 1.1% in the ten weeks to January 5, but it had to cut margins to shift stock during the period.
Shares were 67p lower at 330p, a drop of 17%.
The FTSE 100 Index biggest risers were Arm Holdings up 33.5p at 977p, United Utilities up 29p at 929p, Aggreko up 43p at 1481p and TUI up 28p at 1116p.
The FTSE 100 Index biggest fallers were easyJet down 38p at 1644p, Sainsbury's down 5p at 229.6p, 3i Group down 7.5p at 425.7p and Morrison down 2.3p at 171.4p.
ends
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