Europe Shares Up As EU Summit Looms
Published Wednesday, 27 June 2012 11:09 | Written by Amwal Al Ghad
European stock markets were poised to break a four-day losing streak on Wednesday, as banks and drug makers inched higher, while investors cautiously awaited the Thursday start of the European Union summit.
The Stoxx Europe 600 index (XX:SXXP) +0.08% took on 0.4% to 243.60. Over the past four trading days, the pan-European index has lost 2.8% as investor hopes faded that European leaders will agree on measures to contain the region’s crisis when they meet on Thursday and Friday.
Among biggest gainers in Europe, K+S AG (DE:SDF) +3.65% jumped 5% after Bank of America Merrill Lynch lifted the fertilizer firm to buy from underperform.
The move helped lift Germany’s DAX 30 index (DX:DAX) +0.11% 0.5% to 6,164.48. Banks also provided support: Deutsche Bank AG (DE:DBK) +0.56% DB +0.85% added 1.2% and Commerzbank AG (DE:CBK) -1.04% rose 0.9%.
Italy’s FTSE MIB index (XX:FTMIB) +0.12% was among the best performing bourses, up 0.8% to 13,066.13 as banks climbed.
Banca Monte dei Paschi di Siena SpA (IT:BMPS) +1.05% picked up 3.2% and Banca Popolare di Milano Scarl (IT:PMI) +1.27% took on 2.6%, Market Watch reported.
Later in the day, the Italian government will try to sell as much as 9 billion euros ($11.2 billion) of 6-month t-bills.
Elsewhere, U.K. banks were on the rise, helping lift the FTSE 100 index (UK:UKX) +0.12% 0.5% to 5,472.94.
HSBC Holdings PLC (UK:HSBA) +0.34% HBC +1.27% rose 0.7%, Barclays PLC (UK:BARC) +0.55% BCS +0.83% gained 1.6% and Royal Bank of Scotland Group PLC (UK:RBS) +0.66% RBS -2.45% climbed 1.7%.
In France, Société Générale SA (FR:GLE) +1.00% took on 2% and Credit Agricole SA (FR:ACA) +0.38% inched 1.4% higher.
The CAC 40 index (FR:PX1) -0.05% traded 0.7% higher at 3,033.16, further buoyed by drug maker Sanofi SA (FR:SAN) +0.75% up 0.8%.