In London on Tuesday the FTSE 100 was 0.75 percent higher to 6,639.8, while the FTSE 250 added 1.85 percent on the session to close at 11,747.6.

Punch Taverns was the best performer on the 100, adding 3.44 percent to £12.62, helped by the even bigger rise on the 250 of fellow pubs operator and brewer Greene King (LSE: GNK), which gained 7.92 percent to £10.36.

Greene King said that the new ban on indoor smoking in public places in the UK had not hurt it, as around 95 percent of its pubs have outdoor smoking areas.

It also said that it is focusing on food service in an effort to bring in more female customers and families, and that it is looking at splitting 870 of its 1,400 pubs into separate operating and property companies in order to bring more value from its properties.

Enterprise Inns (LSE: ETI) also felt the benefit of Greene King’s gains, adding 2 percent on the session, to 687p.

Elsewhere, some miners saw gains again. Antofagasta (LSE: ANTO) gained 2.87 percent to 646p, while Lonmin (LSE: LMI) was up 3.13 percent to £43.10.

Energy related companies, however, did not do as well. Oil and natural gas producerr BG Group (LSE: BG; NYSE: BG) dropped 0.9 percent to 824p, while utility Kelda Group (LSE: KEL) was 1.31 percent lower to 943p. Electricity generator British Energy (LSE: BGY) had the worst day on the 100, dropping 1.4 percent to 527p.

The London equities markets were up on the day Friday, with the FTSE 100 up 0.9 percent to 6,091.7 and the FTSE 250 gaining 1.52 percent to 10,017.9. It was the first time the 250 has closed above 10,000. The 100 added 1.1 percent during the week, while the 250 was up 2.3 percent on the week.

The banking sector made news as rumors spread that Alliance & Leicester was in takeover talks with Spanish bank Santander. Despite both banks denials, Alliance & Leicester ended the day with a gain of 6.95 percent to £12 after having gone as high as £12.77 earlier in the day.

Retailer Marks & Spencer added 3.3 percent on the day to 620p on talk of a possible share buyback. It was also rumored that M&S will announce plans for a store remodel program when it releases its full-year report later in the month. Elsewhere in the sector, Kingfisher added 2.7 percent on the day to 237p on bid rumors. On the other hand, Matalan dropped 1.4 percent to 187¾p on a lowered target share price, down to 105p, from Credit Suisse.

In the telecommunications sector, testing company Spirent gained 3.26 percent to 47½p on comments that its low share price makes it an attractive bid target.

Pubs operator Greene King was up 9.9 percent to 826½p on a Merrill Lynch upgrade to “buy”.

The London equities markets were mixed on Tuesday as the FTSE 100 was hurt by a declining oil sector but the FTSE 250 was helped out by bid rumors in the homebuilding sector. The 100 dropped 0.2 percent to 6,086.6, while the 250 added 0.1 percent to 9,966.9.

Oil exploration company Cairn Energy was down 2 percent to £23.70 on lower oil prices and talk that the company’s directors had been selling their own shares in the company in order to profit from the company’s recent advances. Cairn has added 23 percent to its share price since the beginning of the year.

In the homebuilding sector, Bellway was said to be especially attractive to possible bidders with one of the lowest share prices in the sector. Bellway added 0.4 percent on the day to £11.91.

Still in mergers and acquisitions, broadcaster ITV was rumored to be about to receive an offer from Kohlberg Kravis Roberts, a private equity group. ITV was up 1.3 percent to 116p. Takeover speculation also surrounded pubs group Greene King, which lost 0.8 percent on the day to 755½p. Entrepreneur Michael Cannon was said to be interested.

In the steel sector, Corus was up 1.1 percent to 88¼p as Citigroup reiterated its “buy” recommendation and upped its target share price from 90p to 100p.