Insurers Lift Europe

Elena
17 Mar, 2006
Frankfurt

European averages posted solid gains at mid-day on strong insurance stocks, including Zurich Financial, Prudential, and Royal & Sun. London FTSE 100 hit a five-year high, rising 0.8% to 6,041. The French CAC rose 0.8% and the German DAX 30 gained 0.75.

8:30AM European averages gained on insurance stocks at mid-day.
European markets sharply advanced at mid-day trading, boosted by solid gains in insurance stocks, including Zurich Financial, rising 10%, followed by Prudential and Royal & Sun, each climbing 5%. London FTSE 100 spearheaded gainers, reaching a five-year high of 0.8% to 6,041. The French CAC 40 rose 0.8% and the he German DAX 30 advanced 0.7%.


8:00AM Asian markets closed mostly higher. The Nikkei surged 1.5%.
Asian-Pacific benchmarks finished mostly in the positive. The Nikkei recovered from yesterday’s deep plunge, helped by brokerages and banks to lead gainers with an advance of 1.5% to 16339.73. The Japanese index surged after Softbank announced a $15.6 billion bid for the Japanese assets of Vodafone Group. Telecom and construction stocks also provided support. Hong Kong’s Hang Seng rose 0.5%, led by China Mobile. South Korea’s Kospi rebounded from earlier losses to close up 0.4%, followed by Taiwan Weighted index, also up 0.4%, while Shanghai Composite declined 0.4%.

India’s Sensex rose 0.9% for the week on solid gains in industrial stocks.
Indian market closed lower 19 point 10,860.40 on Friday after a volatile session and for the week closed up 88 points as the index rose to new highs three times during this week. Market has witnessed steady inflows of funds from domestic and foreign investors. Reliance Mutual Fund raised $1.3 billion for a domestic mutual fund Reliance Equity Fund. Large blocks of trade were conducted in State Bank of India at a premium to the market price and in Tata Steel. Bajaj auto rose after the company announced a plan to increase its annual motorcycle production capacity to 3.5 million by 2007 and then to 5.5 million capacity to produce scooters and other vehicles by the year 2009. Zee Telefilms rose again on the news that the company is planning to raise between 20% and 40% advertising rates in the coming months. Software consultant TCS rose on the news that the company is likely to get a significant outsourcing contract from Citigroup in New York.