The rebound helped push the Nasdaq composite back into positive territory for the week.

Five minutes after the opening bell, the FTSE lost 188 points, or 3%, to a low of 5,999, the first time it has been below the 6,000 level since January 2013.

London’s listed mining giants – which have been badly hit by the slowdown in China and its impact on commodity prices – were at the heart of the volatility, seeing both falls and climbs during the day.

Tool rental firm HSS Hire (HSS) crashed 35.08% to 83.75p on news that demand in HSS’s core fix, maintenance and improvement markets is “slower and more erratic” than expected. The large-cap CSI 300 Index leapt 5.95 per cent to 3,205.64 points and the Shenzhen Composite Index rose 3.33 per cent to 1,752.21.

Traders are also jittery about the outlook for interest rates.

Analysts had said that the recent moves by China’s central bank may delay a potential US interest rate hike in September by the US Federal Reserve, with commentators saying it could be pushed back to December.

Investors were encouraged by a surge in Chinese stocks. In the U.S., a report showed that the economy expanded at a much faster pace than previously estimated in the second quarter.

Following weak data on Friday, China’s failure to deliver substantial stimulus over the weekend was cited as driving Monday’s dramatic falls in global markets.

Many in Asia took heart from China’s moves to boost its economy.

A passer-by is silhouetted in front of a bank’s electronic board showing the Hong Kong share ind …

More Than insurer RSA Insurance was another big riser, adding four per cent or 19.5p to 514.5p, after it said it was willing to back a £5.6bn takeover by Swiss rival Zurich following a proposed offer at 550p a share. The energy sector investor said that Kettering Borough Council has granted planning permission for Northfield UK Solar’s 49.9 megawatt solar scheme at Desborough, but said there remains significant risks involved in the company adding value to its investment.

Freeport-McMoRan notched the biggest gain in the index.

Markets overseas also mounted rallies.

Germany’s DAX gained 3 percent.

Chinese stocks staged a relief rally on Thursday after shaking off a five-day losing streak.

The biggest risers in the FTSE 100 Index were Antofagasta up 46.5p at 579.5p, London Stock Exchange up 165p at 2536p, St James’s Place up 55p at 914p and Barratt Developments 34p at 624p. Silver rose 37.60 cents to $14.42 an ounce.

U.S. government bond prices fell.

Bond prices fell, pushing up the yield on the 10-year note to 2.20 percent from 2.18 percent on Wednesday.

The euro weakened against the dollar at 1.1411 compared with $1.1606 late on Monday, and was essentially unchanged at ¥137.17 compared with ¥137.55 the previous day.