In London, the FTSE 100 made early gains after US stocks were up at the close of play, up 40.4 points, or 0.61%, to 6,631.
Lonmin made the biggest early gains and added an impressive 145 points, or 3.47%, to £43.24. Enterprise Inns also performed well, up 19 points, or 2.82%, to 692.5p, along with Punch Taverns, up 33 points, or 2.7%, to £12.53, after news that brewer, Greene King, saw a 17% rise in profits. Land Securities shares rose by 38 points, or 2.22%, to £17.48 and Anglo American added 68 points, or 2.19%, to £31.79.
Imperial Tobacco began to feel the effects of the UK wide smoking ban with shares dropping 24 points, or 1.07%, to £22.26 in early trading. This was closely followed by BG Group, down 8 points, or 0.96%, to 823.5p, and Carnival, down 9 points, or 0.38%, to £23.46.
On Wall Street, shares were boosted by increasing merger activity and reports of high factory orders, with the Dow Jones up 126.81, or 0.95%, to 13,535.43.
Caterpillar saw the biggest gains after the US Institute for Supply Management released an upbeat report on the manufacturing sector, up 2.15, or 2.75%, to 80.45. Intel followed with a gain of 0.53, or 2.23%, to 24.27, and United Technologies shares gained 1.53, or 2.16, to 72.46. Du Pont shares added 0.96, or 1.89%, to 51.8, and JP Morgan shares gained 0.7, or 1.44%, to 49.15.
The strong performance of the Dow Jones meant that only two companies saw share prices fall. Merck lost 0.23, or 0.46%, to 49.57 and IBM lost 0.24, or 0.23%, to 105.01.
In Japan, the effects of the US manufacturing report helped to raise the Nikkei 225 Stock Average by 3.60 points to 18,149.90.
The news on Wall Street helped Honda shares climb by 30 yen, or 0.7%, to 4,570, and fellow auto-manufacturer Toyota’s shares gained 30 yen, or 0.4%, to 7,830.
However, Japan’s third biggest steelmaker, Kobe Steel, saw shares fall by 9 yen, or 1.9%, to 467, and a fellow steelmaker, JFE Holdings, saw shares slump by 20 yen, or 0.3%, to 7,750.
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‘Important to have an anchor’
Report to be written by TPR
Lack of innovation for solutions
Some 2,000 consumers affected