* FTSE up 0.7 percent, 6,000 level eyed by year-end
* Miners boosted by China data, copper soars
* M&A talk lifts oil services firms
By David Brett
LONDON, Dec 13 (Reuters) - Britain's top shares gained
ground by midday on Monday, lifted by miners after data from
China showed there was no let up in its booming growth.
By 1149 GMT, the FTSE 100 <> was up 46.24 points, or
0.8 percent at 5,859.19, having notched up a 1.2 percent rise
over the course of the previous week, albeit in light volumes as
the UK market began its last full week of trading before the
Christmas holiday period.
"The need for stronger momentum is required if the rally is
to sustain itself," Sandy Jadeja, chief technical analyst at
City Index, said.
"As long as momentum remains positive the upside targets for
December could see the index reach for 6,050 to 6,117. It is
essential that the FTSE now holds 5,770 as short term key pivots
in order to maintain the bullish stance."
Miners <.FTNMX1770> provided the main support for Britain's
blue chip index, gaining on the back of strong Chinese
industrial output numbers which topped forecasts and sent copper
in London to a record high.
Kazakh mining group Kazakhmys <KAZ.L> was the top gainer up
2.4 percent.
Banks <.FTNMX8350>, which have struggled against the
backdrop of worries over sovereign debt problems in the euro
zone, were back on the front foot as risk appetite among
investors improved. Barclays <BARC.L> rose 1.1 percent.
INFLATION CONCERNS
Concerns remained over China's soaring inflation, which sped
to a 28-month high, and showed signs of spreading beyond food
prices, putting pressure on the government to ratchet up its
monetary tightening policy. []
"There's something of a short-term relief that China decided
not to raise interest rates this time round," said Richard
Hunter, head of equities at Hargreaves Lansdown.
"There are still thoughts that if inflation continues to
rise at its current rate then further rate hikes are
inevitable."
On the macroeconomic front in the UK, British manufacturers'
input costs rose last month at their fastest annual rate since
July, ahead of consumer price inflation due on Tuesday.
[]
Meanwhile, M&A talk was the main driver in the oil services
sector. Petrofac <PFC.L> rose 1.7 percent with traders citing a
read across from mid cap peer Wellstream <WSML.L>, which is the
subject of an 800 million pounds ($1.3 billion) bid from U.S.
firm General Electric Co <GE.N>.
FTSE 250 peer John Wood Group <WG.L> was also in demand, up
6.7 percent after agreeing to buy unlisted Scotland-based rival
PSN for $995 million. []
Companies that have been the subject of recent vague bid
talk, however, were on the backfoot with security firm G4S
<GFS.L> and maker of replacement knees and hips Smith & Nephew
<SN.L> among the top fallers down 0.6 and 0.9 percent,
respectively.
And insurer Prudential <PRU.L> fell 0.3 percent after Asian
insurance group AIA <1299.HK> said it has little interest in
bidding for the Far East assets of Prudential. []
Elsewhere, British Airways <BAY.L> climbed 1.1 percent after
the Financial Times reported the airline is discussing changes
to its pension scheme rules that would enable it to slash its
pension shortfall almost in half.
(Editing by Mike Nesbit)
