Moving into the post-market auction the FTSE 100 was down 22.5 and standing at 5,615.9 and looking set to finish the quarter below 5,633.7.

That would have left London's benchmark index down for the sixth consecutive quarter, and might have further eroded confidence in the stock market.

But a flurry of support for the top 100 stocks, especially some of the heavily traded and hugely liquid international shares, saw the bluechip benchmark rally just enough to finish a net 4.1 higher at 5,642.5, a gain on the quarter of just under 9 points.

Earlier in the session a quick poll of marketmakers and salesmen had elicited a general view that in the absence of any bombshells from New York the market would make every effort to top the 5,633.7 mark. Few could have expected how close the outcome would be.

The frantic activity in the market provided another session of keen turnover which, although well below Thursday's 2.4 billion shares, nevertheless reached a highly respectable 2.14 billion shares.

It was a similar performance by the junior indices, where the FTSE 250, never looking comfortable throughout the session, suddenly raced higher in the last few minutes to settle just off its best of the day and a net 34.5 higher at 6,298.9, while the FTSE SmallCap was finally 11.0 firmer at 2,928.1.

The Techmark 100 ended the week on a firm note too up 10.35 on the day at 1,788.19.

Over the week the FTSE 100 fell 23.2, or 0.4 per cent, the 250 index 41.6 or 0.6 per cent, the SmallCap 84.3 or 2.8 per cent and the Techmark 100 19.59 or 1.1 per cent.

Commenting on the London market's outlook, David McBain of Deutsche Bank's UK equity strategy team said: "One can be more optimistic about prospects for the second half. There is every chance we will test the 6,000 level if confidence begins to return about corporate activity and earnings growth. In the near term, the problems, on a global scale, remain."

Next week brings a welter of economic news, most crucially the meeting of the Bank of England's monetary policy committee (MPC), which is expected to see the MPC leave rates on hold following recent stronger than expected inflation and retail sales data.