By Sara Sjolin, MarketWatch

Kingfisher rises 2.6% after collapsed Mr Bricolage deal

LONDON (MarketWatch) -- The U.K.'s benchmark stock index was on track to break a four-session losing streak on Monday, with shares of Kingfisher PLC among star performers after a collapsed takeover deal.

The FTSE 100 index gained 0.7% to 6,899.99, recovering after closing at the lowest level in 10 days on Friday. The index got a boost from an upbeat session in Asia, where Chinese stocks jumped to a seven-year closing high (http://www.marketwatch.com/storyno-meta-for-guid) after hints of further monetary easing from China's central-bank governor and more details on Beijing's new "Silk Road" plan.

Kingfisher shares jumped 2.6% after the home-improvement retailer said a deal to buy French do-it-yourself firm Mr Bricolage has collapsed.

Shares of WPP PLC (WPPGY) climbed 1.4% to GBP15.62 after UBS lifted the price target on the advertising giant to GBP17. The analysts cited a "robust outlook" and "results having been slightly stronger than expected" as reasons behind the target change.

Compass Group PLC picked up 0.9%. The catering company said it's having a strong first half of the year, with expected organic revenue growth around 5.5%. Earnings for the six months to March 31 are due on May 13.

Rolls-Royce Holdings PLC added 1.3% after the engine maker said Air China Ltd. has selected its Trent 1000 engines for 15 new Boeing 787-9 Dreamliner planes.

And Randgold Resources Ltd. gained 0.6% after the West African gold producer said it's "looking at the growth opportunities" that are being generated by the current squeeze in the gold industry.

Britain's housebuilders reacted mixed to news that the U.K. mortgage approvals rose to a six-year high in February (http://www.marketwatch.com/story/uk-mortgage-approvals-rise-to-six-month-high-2015-03-30), suggesting the housing market is picking up again after cooling at the end of 2014. Shares of Taylor Wimpey PLC rose 0.3%, Persimmon PLC added 1.3%, and Barratt Developments PLC fell 0.1%.

On a downbeat note, shares of Wm. Morrison Supermarkets PLC slipped 0.8% after Goldman Sachs cut the food retailer to neutral from buy.

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