Smoke that surrounds local star (6)
I believe the answer is:
corona
I believe this clue is a double definition.
'smoke' is the first definition.
(type of cigar)
'surrounds local star' is the second definition.
(the gaseous envelope around a star e.g. the sun)
'that' acts as a link.
(Other definitions for corona that I've seen before include "Ring round the sun or moon" , "Aureole" , "Racoon (anag.)" , "Sun's envelope; cigar" , "Outer halo of the sun" .)