Autos, Techs Lift Europe

Elena
28 Mar, 2006
Frankfurt

European stocks traded mostly higher at mid-day, supported by auto and technology stocks. The German DAX 30 rose 0.3% on upbeat economic data, offsetting losses ahead of Fed Reserve''s decision on interest rates. The French CAC 40 gained 0.3%, while London FTSE 100 lost 0.1%.

[R] 8:00 AM European averages traded mostly higher at mid-day.[/R]
European markets traded largely in the positive at mid-day, lifted by auto and tech stocks, recovering from yesterday’s sharp decline on weak oil sector and merger deals. However, bank stocks were weak as J.P. Morgan downgraded the European investment banking sector to underweight from neutral. The German DAX 30 rose 0.3% on data, showing improved confidence in economic growth, offsetting losses ahead of U.S. Fed Reserve’s decision on interest rates. The French CAC 40 gained 0.3%, while London FTSE 100 fell 0.1% on retail stocks.


[R]7:45AM Asian markets broadly advanced ahead of Fed reserve’s decision[/R]
Asian-Pacific benchmarks finished mostly higher, despite uncertainty about U.S. interest rate increases. The Nikkei erased early losses to rise 0.2% to 16,690.24, helped by technology, metals and retail stocks. Tech company Kiocera’s shares gained 1.5% and Advantest Corp. added 1.1%. However, bank and brokerage stocks declined, including Nikko Cordial, down 0.5% and Marusan Securities, falling 5%. Across the region, Taiwan’s Weighted index climbed 0.5%, Hong Kong’s Hang Seng rose 0.3% on continuous caution over interest-rate hikes, and Shanghai Composite gained 0.2%. Indian shares ended slightly higher leading the Sensex, the benchmark index of the Bombay Stock Exchange, to close at a record high of 11,086.03 points.