LONDON, Aug 23 ― London's FTSE 100 bounced back today ahead of US Federal Reserve Chairman Jerome Powell's much-anticipated speech, while Peppa Pig owner Entertainment One rose to a life high after agreeing to be bought by US toy maker Hasbro.

The FTSE 100 rose 0.6 per cent by 0714 GMT, but was still on track for its worst month in four years, while the mid-caps , which had benefited from the recent strength in pound, were up 0.7 per cent.

Markets are expecting a clearer picture from Powell's speech at 1400 GMT on future rate cuts, especially after shares fell in the previous session as the Fed's latest minutes showed a deeply divided view on future monetary policy and a rally in the pound hit exporter stocks.

Entertainment One surged 29.1 per cent to 569 pence after a deal with Hasbro for about US$4 billion in cash, or 560 pence a share. News of the deal lifted shares in broadcaster ITV by 2.4 per cent to the top of the FTSE 100.

Woodford Patient Capital Trust, however, sank 9 per cent to an all-time low after Link Fund, responsible for valuing the company's portfolio, said it would lower the value of Woodford's stake in IH Holdings, which would hit its total net asset value. ― Reuters