London stock market reverses heavier losses in closing

LONDON, Sept. 30 (Xinhua) -- The nervous London stock market reversed its earlier heavier losses in Tuesday's closing thanks to signs of a healthy opening on Wall Street.

FTSE 100 index was up 83.68 points, or 1.74 percent, to close at 4,902.45.

However, it has been another difficult session for British banks.

Shares in HBOS -- the British biggest mortgage -- declined more than 20 percent at 122.4 pence, following market speculation that Lloyds TSB could renegotiate its deal to take over HBOS.

Meanwhile shares in Lloyds were up 4.3 percent at 226.5 pence.