FTSE rebound continues despite Royal Mail slump

The FTSE 100 climbed in morning trading despite a 4% slump in Royal Mail shares as RBS and Sainsbury lifted UK blue chips.

Royal Mail dropped 20p per share to 496p after the government sold half of its remaining 30% stake in the firm for £750m overnight. The sale brought complaints taxpayers were left put out of pocket, given the sale price of 500p was below the stock's Wednesday close at 516p. However, this close represents a 57% increase on the float price of 330p in October 2013. Royal Mail was the biggest loser on the FTSE 100, alongside Vodafone, which shed 3.3% and Standard Chartered, which dropped 1.7% after reports of a change to the UK banking levy proved erroneous. However, the UK blue chip i...