Britain's FTSE 100 index ended up 0.2 percent on Monday, reversing earlier losses as continued M&A activity and a strong mining sector buoyed the market, according to Reuters. With precious and base metal prices up and U.S. consolidation talk intensifying, miners stood out. Antofagasta jumped 4 percent, and Rio Tinto climbed 2.3 percent. "Miners have breathed some life into what looked like a lacklustre FTSE," said one trader. "U.S. consolidation activity combined with strength in metal prices over the afternoon are inspiring the sector, with copper exposure seen as key after the U.S. copper merger." The FTSE 100 index ended up 12.5 points or 0.2 percent at 6,204.5. Buoying the index was almost $90 billion worth of new U.S. and international takeover deals announced since Friday. Wall Street stocks were higher again on Monday, helped by M&A deals such as Freeport-McMoRan Copper & Gold Inc.'s $25.9 billion bid for Phelps Dodge Corp.. "There's been little on the economic or corporate calendars to provide much additional direction across the market today," said Paul Webb, trader at CMC Markets. "So the upward revision in U.S. leading economic indicators has offered stocks on Wall Street some upside in early trade, in turn helping lift London that bit higher too." BID TALK SWIRLS Home Retail Group climbed 2.2 percent as traders cited reports that a private equity group could make a bid for the company. This boosted other retail stocks and helped Next tack on 2.1 percent. Elsewhere, shares in ITV dipped 1 percent as hopes of a bid for Britain's biggest commercial broadcaster from cable operator NTL or others faded following the swoop for a blocking stake by pay-TV group BSkyB. BSkyB slipped 0.7 percent after Richard Branson, NTL's biggest shareholder, called for Britain's office of Fair Trading to intervene in BSkyB's stake purchase. "It's been a mixed start to the week for London equities, with Friday's news of BSkyB building its stake in ITV weighing on the index as a whole and putting both companies under pressure as a result," said CMC's Webb. Steelmaker Corus climbed 1.3 percent after it received a 4.3 billion-pound ($8.1 billion) takeover approach by Brazil's Companhia Siderurgica Nacional (CSN) on Friday, trumping an offer by India's Tata Steel. British Land rose by 2.6 percent, as traders cited profit-taking ahead of results from the company on Tuesday. Outside the FTSE 100, London Stock Exchange shares soared 6 percent after U.S. stock exchange Nasdaq said it would proceed with its 2.7 billion pound ($5.1 billion) offer to shareholders despite the LSE board rejecting the offer. On the downside, banking shares were softer after the British Banking Association revealed underlying UK net mortgage lending rose by 5.5 billion pounds in October, indicating a robust housing market and the risk of more rate rises to come from the Bank of England. Lloyds TSB and HSBC were down 0.4 percent and Royal Bank of Scotland fell 0.5 percent. Fund manager Amvescap dipped 0.8 percent after traders cited media reports that the company is preparing a bid for Boston-based money manager Putnam Investments.
