11.22 More from the Telegraph's market reporter, Ben Martin, on the FTSE 100 climbing above 6,000 points: The benchmark index jumped 1.9pc in early deals while the mid-cap FTSE 250 climbed a further 1.6pc. The moves were matched by stock markets in France, Germany, Italy and Spain, which all rose strongly on the news from the US. In London, the resulting optimism about the prospects of the global economy saw riskier mining shares climb higher. Evraz gained 7.5pc, Eurasian Natural Resources Corporation advanced 5.7pc and Rio Tinto put on 5.4pc. Banking shares were also strong, with Barclays up 4.6pc, Lloyds Banking Group 4pc higher and Royal Bank of Scotland adding 3.5pc. The ebullient mood meant only three blue-chip shares fell in early trading, with British American Tobacco down 0.7pc, Wm Morrison 0.3pc lower and Sainsbury also losing 0.3pc. 11.10 So, it looks like stock markets have started 2013 with a bang. But while markets and US politicians might be happy with the deal struck last night, there's one party that's decidedly unhappy. America's biggest creditor: China. China's state news agency Xinhua has warned that the US is heading towards an "abyss you can never come out of." The commentary added: As the world's sole superpower, the United States is clearly not Greece. But economics and common sense do not lie. The most worrying thing about US politicians is that if they have come so close to falling off a 'cliff', they are far less likely to reach a deal to help their country climb out of an abyss. In a democracy like the United States, tax increases and spending cuts, the exact dose of medicine needed to cure its chronic debt disease, have long proved hugely unpopular among voters. So the politicians have chosen to kick the can down the road again and again. Oh dear. China's US Treasury holdings grew to a mammoth $1.16 trillion in December (Photo: Reuters). 10.55 Consequently, borrowing costs in "safe haven" countries have edged up this morning. The yield on 10-year UK gilts is up 12 basis points at 1.948pc, while US borrowing costs are up 7 basis points at 1.83pc. The benchmark yield on German 10-year debt is also up 12 basis points at 1.43pc. Meanwhile, Italian and Spanish yields are down. The latter could see its borrowing costs fall back below 5pc at this rate. Ten year bond yields are currently averaging 5.09pc. Rainer Guntermann, a fixed-income strategist at Commerzbank AG in Frankfurt, told Bloomberg: The compromise on the US fiscal cliff is dominating risk sentiment It's a pro-risk environment and bund yields should correct a bit higher. 10.44 Italy's benchmark share index, the FTSE Mib, is up 3pc at 16,755.19. 10.30 Commenting on today's market movers (shortly before the Footsie broke through the psychological 6,000 mark), Chris Beauchamp, market analyst at IG, said: In the end, they did it. It was hardly a smooth ride, and fears of a last minute, last-ditch attempt to throw in spending cuts provided plenty of drama, but US lawmakers were able to put together a deal that averts the fiscal cliff. Cynics will point out that another argument has been booked in for two months" time, when the debt ceiling comes up for debate, and Republicans will be looking to make progress on the spending cuts that haven't featured in the New Year deal. But for now markets are just relieved that we moved into 2013 with some sort of deal. Yesterday's decent Chinese manufacturing data has helped to boost the optimistic mood, and even the UK has provided a positive surprise, with manufacturing growing for the first time in nine months. 10.28 Miners are leading the rally. Evraz is up 7pc, while ENRC is up 5.5pc and Rio Tinto is up 5.5pc. Rio Tinto helped to produce the medals for London's 2012 Olympics (Photo: LOCOG). 10.08 The Footsie has broken the 6,000 barrier for the first time since July 2011. 09.52 Samuel Tombs at Capital Economics comments on the UK data: The further improvement in the UK CIPS manufacturing survey in December tentatively suggests that output in the industrial sector might have stabilised at the end of last year. The rise in the headline PMI from 49.2 in November to 51.4 primarily reflected a further improvement in the output balance from 50.5 to 54.0 - its highest level in a year. The orders and employment balances also improved, albeit more marginally. The CBI's Industrial Trends survey also strengthened in December, so it seems as if the sector found some stability at the very end of 2012. Nonetheless, the CIPS survey's weakness in prior months means that the output balance still points to a quarterly fall in manufacturing output in Q4 of 0.7% or so. And with the recession in the euro-zone set to deepen and consumers at home on course to be hit by a further bout of relatively high inflation, 2013 is shaping up to be another tough year for UK manufacturers. 09.41 Better news in Britain, where the manufacturing PMI rose to 51.4 in December, as production and new orders expanded at a faster rate. Rob Dobson, Senior Economist at Markit, said: UK manufacturing exited 2012 on a positive note, with December's PMI data signalling a reassuringly solid return to growth for the sector. However, this does little to change the view that the sector contracted over the fourth quarter as a whole following the temporary growth surge of 0.7% in the third quarter. The domestic market remained the main spur for growth of production and new orders in December, although there are also signs that global trade flows are stabilising as China and the US strengthen and the downturn in the Eurozone eases. If the recovery in overseas markets continues to build at the start of 2013, this would be of major benefit to UK exporters. 09.37 Howard Archer at IHS Global Insight comments on the eurozone PMI data: While Eurozone manufacturing activity may have suffered its worst contraction around October, the December purchasing managers" surveys indicate that the sector is still stranded well into recessionary territory and that conditions continue to be tough going into 2013. Indeed, manufacturing output looks highly likely to have contracted markedly in the fourth quarter of 2012, thereby contributing to an expected third successive modest drop in Eurozone GDP. A further drop in manufacturing output seems very much on the cards for the first quarter of 2013, and any significant recovery in manufacturing activity still looks some way off. In particular, domestic demand in the Eurozone is likely to remain constrained by tighter fiscal policy in many countries, high and rising unemployment, and limited consumer purchasing power. 09.29 Even Germany's powerhouse economy is stalling. The country's manufacturing PMI slipped to 46.0 in December as new orders fell for an eighteenth successive month and the job shedding continued. Markit said: