London’s top flight was set for a calmer start this morning after slumping yesterday, hit by “a cocktail of worries”.

Merger and acquisition speculation has helped to spark the markets again in a deathly quiet period for corporate reporting, with Sainsbury’s the latest retailer to soar in value.

Shares in Sainsbury’s soared by more than 13% on Monday morning as investors shrugged off attempts to dampen down rumours that Britain’s second-largest grocery chain could become the industry’s next takeover target.

Almost £1bn added to value of supermarket chain seen as next target after bidding war for Morrisons

Shares in U.K. supermarket group Sainsbury’s soared on the FTSE stock market on Monday, reaching their highest level in over seven years, after weekend reports of a potential buyout bid from a U.S. private equity firm.

Rolling coverage of the latest economic and financial newsFTSE 250 index ends at new highNasdaq hits fresh record on economic optimismUK retail stock levels at record low amid supply problemsUK house sales fell over 60% in July after busiest ever JuneHousebuyers rush to complete deals before stamp duty tax cut…