US stocks climbed higher on Wednesday on renewed takeover activity. Investors also bet that authorities will cut interest rates next month and continue working to bring stability back to the credit markets.

All major indices were up; the Dow Jones Industrials gained 145 rising to 13,236; the S&P500 added 17 points ending at 1,464, and the Nasdaq was up 32 to finish at 2,553.

In company news, there was plenty of merger talk on Wednesday, including that surrounding MGM MIRAGE. Shares in the casino operator were up 8.91% to $80.94 after the investment holding firm of the Dubai government said it would buy a 9.5 per cent stake in MGM and half of its CityCentre development in Las Vegas. The price tag is just over $5 billion