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LONDON (Alliance News) - As fears over another US trade war front receded with a deal agreed between the world's largest economy and Mexico, risk appetite boosted London stocks on Monday.In contrast to the positive start to the week for equities, the pound declined after weak UK growth data showed the economy contracted for a second consecutive month.The FTSE 100 was up 34.95 points, or 0.5%, at 7,366.89 on Monday at midday. The FTSE 250 was up 51.39 points, or 0.3%, at 19,283.78. The AIM All-Share was up 0.4% at 942.21.The Cboe UK 100 index was up 0.5% at 12,492.50. The Cboe UK 250 was up 0.4% at 17,303.76 with the Cboe UK Small Companies up 0.3% at 11,760.57."Stock markets are on the rise today, as the weekend developments between the US and Mexico ramped up buying in haven assets," said Joshua Mahony, senior market analyst at IG. This comes after US President Donald Trump said he will not impose the 5% tariff on Mexican imports as threatened, saying a deal had been reached on stemming flows of migrants from Central America.As part of the immigration deal, asylum seekers will be returned to Mexico to await their hearings in US courts. Mexico also has pledged to beef up security on its own southern border.Trump's proposed tariffs would have gone up progressively, from 5% on Monday to 25% later this year, had Mexico not complied with US demands."For now, markets are reacting with relief that the US has not opened up yet another front to their trade war. However, this whole debacle also highlights the worrying fact that Trump sees tariffs as an appropriate tool to utilise in any situation where he feels the US has been slighted in some way," noted IG's Mahony.While equities were higher on Monday, the pound dipped after some disappointing data.Sterling was quoted at USD1.2691 at midday versus USD1.2760 late Friday.In April, the UK's economy contracted by 0.4%, following shrinkage of 0.1% in March. The Official for National Statistics said the manufacturing sector was the largest detractor, declining by 3.9% in April.In the rolling three months to April, the UK's GDP grew by 0.3% compared to 0.5% growth in the first three months of 2019.Capital Economics said the April GDP figure suggests the "Brexit hangover" in the second quarter has been heavier than feared. "We had previously thought GDP would rise by 0.2% quarter-on-quarter in Q2 as a whole, but it's now possible that GDP fails to increase at all or even contracts," said Capital Economics.In mainland Europe, the CAC 40 in Paris was up 0.2% while markets in Germany are closed for Whit Monday.Over in the US, stocks are pointed to a higher start, with the Dow Jones, S&P 500 and Nasdaq all called up 0.4%.In pre-market trade, United Technologies shares were up 5.2% while Raytheon shares were up 2.8% as the companies agreed to an all-share merger. The combined companies are expected to have USD74 billion in sales in 2019. The merger will mark a serious consolidation in the US aerospace and defence sectors, creating one massive company to service a host of clients, including the government. The combined entity will be named Raytheon Technologies Corp, in what both companies are calling a "merger of equals". The market capitalization of the two companies combined is USD166 billion.In London, miners were helping to boost the FTSE 100 after some upbeat export data from China. China's exports grew 1.1% in May after falling 2.7% in April, according to customs data. Analysts had expected a 3.8% decline.This saw Antofagasta gain 2.3% amid signs of health in China's economy, with Anglo American up 1.7% and Glencore up 1.3%.At the bottom, however, was plumbing and heating firm Ferguson, down 5.8% as it reported an easing in organic growth.Ferguson reported revenue for the three months to the end of April of USD5.27 billion, up 6.2% from USD4.97 billion reported for the same period a year prior. On an organic basis, revenue climbed 2.7%. This marked a slowing from the 6.5% organic growth reported for the first half. Trading profit, which excludes exceptional items and amortisation of acquired intangible assets, rose 2.3% to USD359 million form USD351 million year-on-year. Another loser was Hargreaves Lansdown, down 4.0% as the fund supermarket continued to suffer following fund manager Neil Woodford's decision to suspended withdrawals from his flagship equity fund last week.Neil Woodford on June 3 suspended fund redemptions from his flagship equity income fund - the LF Woodford Equity Income Fund - as the fund's underperformance resulted in significant outflow of investors. The equity fund is managed by Woodford Investment Management, which also manages Woodford Patient Capital Trust. FTSE 250-listed Woodford Patient Capital Trust, down 4.2%, on Monday said the performance of its investment portfolio has been unaffected by the suspension. In the past week, shares in Woodford Patient Capital Trust have shed more than 20%.Among risers in the FTSE 250, Playtech was up 2.6% after Jefferies started the gaming and financial trading technology provider with a Buy rating. Elsewhere on the Main Market, Helical shares gained 11% as the property investor confirmed it had received more than one unsolicited takeover approach from different parties.However, these proposals have been at a significant discount to its net asset value and did not reflect the fair value of the company, Helical added.The statement came after the Sunday Times reported that Helical had received a GBP500 million takeover offer from an undisclosed US private equity firm. The firm currently has a market capitalisation of GBP471 million, but a net asset value of GBP567.4 million.Thomas Cook shares jumped 15% after the beleaguered travel agent confirmed it is in discussions with Fosun International over a potential offer for the Thomas Cook tour operator business. Fosun, a Hong Kong-listed company and Thomas Cook's largest shareholder with an 18% stake, has made a "preliminary approach"."There can be no certainty that this approach will result in a formal offer. However, the board will consider any potential offer alongside the other strategic options that it has, with the aim of maximising value for all its stakeholders," Thomas Cook said.