By Sara Sjolin, MarketWatch

LONDON (MarketWatch) -- U.K. stocks moved firmly higher in early action on Thursday, after a dovish tone from the U.S. Federal Reserve lifted equities globally, and with a Bank of England policy decision ahead.

The FTSE 100 index gained 0.7% to 6,526.26, on track to break a two-day losing streak.

The strength came after Fed minutes released Wednesday reaffirmed the U.S. central bank's intention to be prudent in raising interest rates. U.S. stocks scored their biggest one-day gains of the year in the wake of the release.

In the U.K., the Bank of England will release its latest monetary policy decision at noon, or 7 a.m. Eastern. Most economists expect no changes to its record low interest rates or the 375 billion ($607 billion) asset-purchase program.

At the BOE's September meeting, two members voted in favor of a rate hike. Since then, however, U.K. inflation has slipped and economic data have generally weakened, so most of the nine-member Monetary Policy Committee are widely expected to vote for no change.

Among London market movers, miners posted some of the biggest gains, as a weaker dollar helped drive commodity prices higher. Shares of Randgold Resources Ltd. rallied 6.8%, Fresnillo PLC gained 5.4%, and Antofagasta PLC put on 3.3%.

Shares of Rolls Royce Holdings PLC added 1.2% after Norwegian Air Shuttle ASA ordered Trent 1000 engines for nine Dreamliners.

Royal Mail PLC added 1.3%. The delivery company reached a settlement agreement with the French competition authority over allegations it had breached antitrust laws in the postal market.

Barclays PLC (BCS) inched 0.7% higher after the bank late Wednesday agreed to pay $20 million to settle a U.S. class action lawsuit over Libor manipulation.

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