UPDATE 2-UK shares bag gains after delayed stock market open

* FTSE 100 up 0.7%, FTSE 250 rises nearly 1%
* Technical glitch causes more than 1-1/2 hour delay
* All blue-chip sectors ended in the black
* Financials biggest support after China stimulus

(Adds news items, analyst comment, updates share prices to
close)
By Muvija M and Yadarisa Shabong
Aug 16 (Reuters) - UK shares rebounded on Friday after the
London Stock Exchange's longest outage in years, with more
stimulus plans from China bolstering the blue-chips and
increased optimism about Britain avoiding a disruptive no-deal
Brexit lifting the mid-caps.
The main index .FTSE rose 0.7% with all sectors in the
black, while the FTSE 250 index .FTMC outperformed with a 1%
rise owing to gains in the local currency. Both indexes recouped
some of the steep declines suffered in the last two sessions.
The outage, which was the longest in eight years and delayed
trading for almost two hours, came during a volatile week for
global financial markets, which were hit by worries about an
impending recession and a prolonged U.S.-China trade spat.

Shares of LSE LSE.L rose 1.9%.
The FTSE 100's weekly run, which had dragged the index to
six-month lows at one point, has placed it on course for its
worst month in nearly four years.
On Friday, however, the index was boosted by shares of
financial companies, particularly those with a bigger exposure
to Asia, after China's state planner said it would roll out a
plan to boost disposable income for 2019-2020 to revive
consumption as the economy slows. FROM RECESSION
A report that Germany would be prepared to ditch its
balanced budget rule and take on new debt to counter a possible
recession also helped the banks .FTNMX8770 break a 5-day
losing streak and rise 1.6%. The index has been pressured
recently amid the Hong Kong protests. "Working on the hopeful assumption that central banks are
going to step in and try and force the global economy into a
U-turn away from a recession, the markets were fairly uniform in
their gains," Spreadex analyst Connor Campbell said.
Precious metals miner Fresnillo FRES.L , however, fell 1.1%
as gold prices fell on investors locking in profits after a
strong run. At home, growing momentum among politicians to stop Britain
from crashing out of the European Union without any agreement
has buoyed the pound, in turn aiding the domestically-focussed
FTSE 250 index.
Among news-driven moves, Mr Kipling owner Premier Foods
PFD.L added 1.2% after Sky News reported overnight that former
Reckitt Benckiser CFO Colin Day was among leading contenders to
become Premier Foods chairman.
Prudential PRU.L inched 1% lower after a UK High Court
blocked the transfer of 12 billion pounds in annuities from the
insurer to Rothesay Life. AIM-listed Burford Capital BURF.L , which had jumped in the
last session after replacing its CFO, slumped 8.8%. Shares in
the litigation funder have plunged over 40% since coming under
attack from short-seller Muddy Waters.