UK shares gain broadly, Thomas Cook tanks

London's FTSE 100 rebounded on Monday after suffering its steepest five-day drop since May last week over worries of a prolonged U.S.-China trade war, while tour company Thomas Cook plunged after updating on its recapitalisation plans.

The FTSE 100 index was up 0.6% by 0715 GMT, with the midcap index also gaining 0.6%. The blue-chip bourse got its support from gains in Asia-exposed financial stocks and oil majors in a broad-based recovery, tracking rises in China after Beijing showed support for its capital markets by relaxing margin financing.

Thomas Cook, the world's oldest travel company, tanked nearly 30% after saying its existing shareholders were expected to be significantly diluted as part of its rescue plan. Tullow Oil, however, jumped 15% on the midcap index after publishing data confirming high-quality oil-bearing sandstone reservoirs in its well in Guyana.