Ahead of a wave of economic indicators from across the globe today, investors took a bullish approach early on after figures showed that manufacturing activity in China reached a six-month high.

The FTSE 100 was trading 0.4% higher at 6,773 in early trading.

The National Bureau of Statistics (NBS) said that the official Chinese manufacturing purchasing managers’ index (PMI) edged higher from 50.8 in May to 51.0 last month. This was its fourth straight monthly improvement and the highest since December 2013.

Manufacturing PMIs are also due out in the UK, Eurozone and US later on, all of which are forecast to show that activity continued to grow in each region in June, albeit at varying rates.

In the UK, today will see the release of the records of the Financial Policy Committee’s June 17th meeting, at which policymakers proposed to cap riskier mortgage lending in a bid to cool the UK housing market.

Traders are also likely to keep a close eye on developments in Ukraine where President Petro Poroshenko called an end to a ceasefire with pro-Russian millitants in the east.

He said: “We will attack, we will free our land […] The decision not to continue the ceasefire is our answer to terrorists, militants and marauders.”

Miners jump on China data

Mining stocks were the best performers this morning in reaction to the decent economic data from top metals user China. Rio Tinto, Randgold, Fresnillo, BHP Billiton, Anglo American and Glencore were all putting in steady gains this morning.

Drinks group Diageo was continuing to rise on speculation over a potential merger with brewer SABMiller, which could create a beverages giant worth over £100bn.

UK regeneration specialist St. Modwen Properties jumped as it posted a 32% increase in half-year pre-tax profit, increased its dividend and said improving valuations, particularly in the residential sector, underpin its confidence for the full-year.

Online grocer Ocado slumped despite moving into the black with a pre-tax profit of £7.5m compared with a £3.8m loss the year before. However, the company did note a slowdown in sales and said that growth was limited by “subdued and cautious consumer spending”.

Chip groups ARM Holdings and Imagination Technologies were both under the weather this morning.

FTSE 100 – Risers
Rio Tinto (RIO) 3,191.00p +2.65%
Diageo (DGE) 1,908.50p +2.28%
Randgold Resources Ltd. (RRS) 4,976.00p +2.11%
Fresnillo (FRES) 888.50p +1.89%
BHP Billiton (BLT) 1,920.00p +1.61%
G4S (GFS) 258.90p +1.45%
Anglo American (AAL) 1,449.00p +1.33%
National Grid (NG.) 849.00p +1.07%
Glencore (GLEN) 329.00p +1.06%
International Consolidated Airlines Group SA (CDI) (IAG) 373.80p +0.89%

FTSE 100 – Fallers
Burberry Group (BRBY) 1,466.00p -1.15%
TUI Travel (TT.) 394.50p -0.88%
Royal Mail (RMG) 494.70p -0.86%
Sainsbury (J) (SBRY) 312.80p -0.86%
ARM Holdings (ARM) 873.50p -0.85%
Tesco (TSCO) 281.90p -0.81%
Pearson (PSON) 1,145.00p -0.78%
Standard Chartered (STAN) 1,185.50p -0.71%
Morrison (Wm) Supermarkets (MRW) 182.20p -0.65%
Whitbread (WTB) 4,383.00p -0.59%

Source: ShareCast