The FTSE 100 managed to kick off the week with a rise today, finishing up one per cent at 6,273.40 points.
A jump in commodity prices managed to offset fears of Brexit that dragged down house builders.
A flurry of recent polls have put the leave campaign neck-and-neck with remain as the 23 June vote draws nearer.
A weaker pound is generally good news for the blue-chips on the FTSE 100, however, due to the large amount of revenue they make overseas.
Miners were also helped by a fall in the US currency as expectations of a Fed rate hike in June receded following Friday's disappointing jobs report. A lower dollar means commodities are cheaper for holders of other currencies.
Elsewhere Coca-Cola HBC climbed by 4.6 per cent, while Johnson Matthey added four per cent.
It's thought that if the UK decides to quit the EU it would trigger a sharp drop in house prices across the country.
CMC Markets analyst Jasper Lawler said:
Commodity stocks are continuing to benefit from Friday’s sharp drop in the US dollar, which along with noises from the US about China reducing its excess steel capacity as part of a bilateral trade agreement, is supporting a rise in metals prices. Shares of miner Anglo American gained triple digits.
Housebuilders have been some of the biggest stock market fallers on the renewed risks of a Brexit. There’s still a shortage of housing, which should limit the damage, but a Brexit and its impact on immigration could exacerbate problems finding skilled labour. Short-term housing demand may be disrupted as home-buyers wait for the result of referendum.
Brexit fears were not so easily cast aside among the domestically-focused FTSE 250. It was up by only 0.7 per cent by the close.
Indivior, a pharmaceuticals firm that climbed by over 36 per cent on Friday after scoring a patent ruling on its heroin substitute Suboxone, ditched over 10 per cent today due to a broker downgrade on the stock.