FTSE rises as ITV and housebuilders gain

By Michael Taylor

LONDON (Reuters) - The benchmark index ended higher on Monday as free-to-air broadcaster ITV rose on persistent bid speculation, while miners tracked weaker metal prices.

The FTSE 100 was up 52.6 points, or 1 percent, at 5,541.8 but is down over 14 percent for the year to date.

ITV rose 6.3 percent as traders cited persistent market talk of a possible bid from TV producer Endemol.

Endemol, which is partly owned by Italy's Mediaset, may consider a bid for television network ITV, Mediaset's vice-chairman, Piersilvio Berlusconi, told Il Sole 24 Ore newspaper on Sunday.

ITV declined to comment, while Mediaset declined to comment beyond what was published in the newspaper.

Beaten-down housebuilders grabbed the spotlight after traders said Polaris Capital Management raised its stake in Barratt Developments, which jumped 23.6 percent.

Barratt Developments said Polaris had reached a threshold of a 6 percent stake and declined to comment further.

Aside from the rally in Barratt Developments, analysts also pointed to short-covering ahead of the usual summer lull, as well as hopes for the temporary suspension of stamp duty for first-time buyers.