UK stocks rose for the third consecutive day

UK stocks rose for the third consecutive day that China refrained from raising interest rates and merger and acquisition activity boosted Wellstream Holdings Plc and Yule Catto & Co.
Antofagasta Plc and Xstrata Plc led shares higher resource base. Wellstream met the 5 percent and General Electric Co. agreed to buy the company for 800 million pounds ($ 1.3 billion). Yule Catto led gains in the FTSE 250 as the UK supplier of polymers agreed to buy a manufacturer of latex TowerBrook Capital Partners for € 443 million ($ 585 million).
The benchmark FTSE 100 rose 41.34, or 0.7 percent, to 5,854.29 as of 10:46 am in London. The index has risen by 8.2 percent so far this year, corporate profits and improving the Federal Reserve announced a program of 600 billion U.S. dollars in gift vouchers to help the recovery of the economy USA, a tactic known as quantitative easing. The FTSE All-Share Index advanced 0.7 percent today and Ireland ISEQ Index rose 0.9 percent.
"If QE ending stock prices rise, companies may be tempted to use its stock price more richly to enjoy M & A," wrote David Shairp, global strategist at JPMorgan Asset Management in London, in a report released today. We "still constructive on risky assets."
Bank of China
The People's Bank of China, which last week raised the reserve ratios for banks by half a percent, did not increase interest rates this weekend, as well as consumer prices rose 5.1 percent in November. As policymakers Federal Reserve meeting tomorrow, a Commerce Department report on U.S. is likely to show retail sales rose for the fifth consecutive month in November.
Xstrata rose 1.3 percent to 1,459 pence. Antofagasta rose 1.4 percent to 1,518 pence. Copper, lead, nickel and tin prices rose in London.
Wellstream Holdings Plc rose 5 percent to 784.5 pence. General Electric agreed to buy Wellstream of 780 pence per share plus a special dividend of 6 pence per share.
Regal Petroleum PLC rose 3.1 percent to 25 pence. British explorer who put all their drilling operations pending a strategic review said it received an offer of 24 pence per share Energas Management Ltd.
Moreover, Heamoor Ltd. said it confirmed its interest in Regal Petroleum and has been in discussion with the board of the company is trying to make a cash offer and the Regal asset mix alternately with Petroleum Geo-Alliance- Gas Public Ltd.
Yule Catto met 10 percent to 286 pence, towards its highest closing price since April 2006. Polymers provider plans to raise 225 million pounds in a rights offering to finance the acquisition of PolymerLatex.
The purchase, Yule Catto largest to date, will expand its range of polymers for the paint industry, construction, carpets and adhesives, while generating efficiency savings of around 20 million pounds. Adrian Whitfield CEO expects the deal to help earnings from the first year of full ownership.