LONDON (Reuters) - WM Morrisons
They rose as much as 2.9 percent in midday trade and were up 1.9 percent by 1215 GMT, outperforming their UK peers. The FTSE 100 <.FTSE> was up 1.5 percent.
Chatter about the rumour was mentioned on the Financial Times' Alphaville markets chatroom.
The chatroom moderator said: "There's a mad story going round the traps about Amazon going for Morrison ... Looks to me like wild speculation, but stranger things I guess..."
The supermarket chain has struck wholesale supply deals with Amazon and is widely seen as a potential takeover target for the U.S. company as it moves into bricks-and-mortar retailing after its takeover of Whole Foods.
Morrisons was not immediately available for comment.
(Reporting by Helen Reid, additional reporting by Paul Sandl; Editing by Josephine Mason)