European shares surged today after China allowed more flexibility in the yuan exchange rate that boosted confidence in the global economy.
The Dublin market of leading shares joined other markets higher with AIB and Smurfit among the gainers.
By 1pm, the Iseq index was up 33.69 points to 3152.48.
The pan-European FTSEurofirst 300 index of top shares was up 1.4 per cent at 1,058.84 points this morning, on course for a ninth session of gains, and its highest close in seven weeks after gaining 6.6 per cent in the previous eight sessions.
However, it is only marginally higher for 2010, with worries about debt levels in the euro zone having hurt investor sentiment in April and May. Mining stocks featured among the top performers as metal prices jumped on hopes a more flexible Chinese yuan would increase demand for industrial metals from the world's largest consumer.
Base metals, including copper, rose as the yuan surged to its highest since 2005 against the dollar. The US currency also weakened against the euro, helping gold prices hit another record high.
Anglo American, BHP Billiton, Rio Tinto and Xstrata rose between 3.8 and 5.7 per cent.
Investor sentiment was lifted after China's central bank signalled at the weekend that it was unshackling the currency from its de facto 23-month-old peg.
But in a lengthy statement about how currency reform would proceed, the central bank explicitly ruled out a one-off revaluation and repeatedly said there was no basis for any big appreciation, with the yuan's value not far off its fair level.
Energy stocks also moved higher on the improving sentiment, with Brent crude rising to more than $79.50. Total, ENI, Royal Dutch Shell, Repsol, and StatoilHydro rose between 1.4 and 2.6 per cent.
But BP fell 4.3 per cent. An internal BP document released by a US lawmaker estimated that a worst-case scenario rate for the Gulf of Mexico oil spill could be about 100,000 barrels per day, far higher than the current U.S. figure.
BP said today the cost of its response to the Gulf of Mexico oil spill had hit $2 billion and that it had paid out $105 million in damages.
Oil services companies were boosted by sector consolidation news, as well as higher oil prices.
Oslo-listed offshore services provider Acergy agreed to buy rival Subsea 7 in an all-share deal, valuing the latter at more than $2.4 billion, that is set to create a leader in undersea engineering and construction jobs for the oil and gas industry.
Shares in Subsea and Acergy rose 11.3 and 11.1 per cent, respectively. Elsewhere in the sector, France's Technip and Norway's PGS both rose 5.6 per cent.
The heavyweight banking sector also gained from increased risk appetite.
Banco Santander, Societe Generale and UniCredit rose between 1.9 and 2.7 per cent.
Among individual stocks, Aegon gained 3 per cent following a report that the Dutch insurer is preparing to sell its British life and pensions business, including Scottish Equitable, for £1.5 billion .
Across Europe, the FTSE 100, Germany's DAX and France's CAC 40 gained between 1.1 and 1.6 per cent.
The Thomson Reuters Peripheral Eurozone Countries Index rose 1.7 per cent.