FTSE closes up on Greece deal hopes

(Close): The FTSE 100 closed in positive territory, up 1.72% to 6,825.6 points, boosted by hopes that a deal to resolve the Greek debt crisis may be near.

Frankfurt and Paris markets also closed higher, with both up around 3.8%.

Broadcaster Sky closed 3.47% higher, on renewed speculation that Rupert Murdoch's media business could make a fresh bid.

Randgold Resources, closed down 1.89% - the biggest loser.

Severn Trent closed up 5.89% after the Sunday Times reported that Canadian investment company Borealis Infrastructure was considering a bid.

Outside the top flight, chocolate firm Thorntons surged up and stayed up, closing 42.8% higher on news that Ferrero International made a bid.

On the currency markets, the pound fell 0.36% against the dollar to $1.5823, and also fell 0.59% against the euro to €1.3904.