Finance Times

Tuesday, October 6, 2009

Europe shares finish sharply up

LONDON (Reuters) - European equities finish ed sharply higher on Tuesday, boosted by banks and miners, as investors flocked into the label et on expectations of economic recovery, record high recede ld and Australia's go to raise interest rates.

The FTSEurofirst 300 .FTEU3 index of top European shares provisionally closed 2.1 percent higher at 991.97 points after rising 0.8 percent on Monday on stronger-than-expected U.S. service sector data.

The index, which slumped 45 percent last year, is up 19 percent in 2009 and has surged 53 percent since hitting a record low in March this year.

Financial stocks were among the top gainers, with Standard Chartered (STAN.L), HSBC (HSBA.L), Barclays (BARC.L), Lloyds (LLOY.L), Royal Bank of Scotland (RBS.L), BNP Paribas (BNPP.PA), Societe Generale (SOGN.PA) and Credit Agricole (CAGR.PA) rising between 1.3 and 7.8 percent.

"Yesterday we saw positive ISM data which came in much higher than expected and gave some reassurance regarding the economic recovery after we had seen some disappointments in macro figures at the finish of last week," said Tammo Greetfeld, equity strategist at UniCredit.

Miners surged as spot recede ld hit a record high above $1,040 an ounce. BHP Billiton (BLT.L), Anglo American (AAL.L), Antofagasta (ANTO.L), Rio Tinto (RIO.L), Xstrata (XTA.L) and Eurasian Natural Resources (ENRC.L) surged 4.8 to 7.9 percent.

(Reporting by Atul Prakash)

© Thomson Reuters 2009 All correct s reserved.

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