|
Europe closes higher
|
 |
May 5, 2000: 12:35 p.m. ET
Choppy trading session ends in positive territory after U.S. job data
|
LONDON (CNNfn) - European markets rose at the close of trading Friday, reassured by the lack of any significant Wall Street reaction to stronger-than-expected U.S. job data. Strong corporate news helped many "new economy" stocks cling to gains in a choppy day of trading.
In London, Europe's largest bourse, the FTSE 100 index rose 0.6 percent to 6,238.8, ending the week more than 2 percent firmer, while Frankfurt's Xetra Dax index shot up almost 2 percent to close at 7,530.82, up 1 percent on last Friday's close.
In Paris, the CAC 40 climbed 0.9 percent to 6,548.09, some 7 percent up on the week, while Switzerland's SMI was little changed at 7,499.4.
 The FTSE Eurotop 300, a broad-based pan-European index, gained 0.1 percent, with oil and gas sectors rising more than 2 percent.
U.S. stocks surged Friday morning after the economy showed surprising job gains and declining unemployment, signaling some acceptance on the part of investors that the Federal Reserve will act aggressively to manage the growth. The Nasdaq composite index gained 80.75 points, or more than 2 percent, to 3,800.99. The Dow jumped 148.92 points, or more than 1 percent, to 10,561.41.
In the currency markets, the euro rose to 89.45 cents from 89.20 cents in late New York trading Thursday, and rallied against the yen to ¥97.1 after hitting a new low of ¥95.88 in Asia earlier in the day.
Tech shares in demand
Telecom and technology stocks drove London higher. Telecom equipment maker Marconi (MNI) was the best performer, surging 12.4 percent as investors took  encouragement from a strong earnings report by rival Alcatel Thursday, and outsourcing firm Capita Group (CPI) rose 7.5 percent.
FTSE 100 heavyweight Vodafone AirTouch (VOD) climbed 3.3 percent, and Scottish telecom firm Thus (THUS) rose almost 3 percent.
Other tech standard bearers included chip designer ARM Holdings (ARM), up 9.6 percent, and Internet security firm Baltimore Technologies (BLM), which added 2.5 percent after a scare Thursday about damage to computer networks caused by the "love bug", a destructive email virus, focused attention on electronic security issues.
The world's largest airport operator, BAA (BAA), rose 3.2 percent after the company said it is in sole negotiations with the City of New York over the management of its John F. Kennedy International and LaGuardia airports.
Oil stocks rose, led by BP Amoco (BPA) before it reports earnings next week, rising 5.1 percent, and Shell Transport and Trading (SHEL) rose 4.2 percent after investment bank UBS Warburg raised its price target.
The world's third-largest advertising company, WPP Group (WPP), fell 5.6 percent after it said Friday it has resumed talks with advertising rival Young & Rubicam about a takeover of the U.S.-based firm worth as much as $6 billion.
In Paris, too, technology shares led the gains. Chipmaker STMicroelectronics (PSTM) rose 5.9 percent to  214.30 after unveiling a six-year strategic tie with Canada's Nortel. STM is now the Paris market's fourth-biggest company by capitalization.
Telecom equipment maker Alcatel (PCGE) was the leading gainer however, rising more than 7.5 percent to extend its near-10 percent surge the previous day after publishing strong earnings for the first quarter.
Pay-TV broadcaster Canal Plus (PAN), always a beneficiary of any positive sentiment toward telecom, tech and media shares, rose 0.6 percent, while data network operator Equant (PEQU) gained 2.3 percent and index heavyweight France Telecom (PFTE) rose 1 percent.
In Frankfurt, Deutsche Lufthansa (FLHA) extended gains for a second day, leaping 2.9 percent after reporting better-than-expected results Thursday. Deutsche Telekom (DTE) rose 4.7 percent, while sportswear and ski maker Adidas Salomon (FADS) was the biggest gainer, rising 5.6 percent.
Europe's biggest business software maker, SAP (FSAP), rose 1.8 percent, while engineer Linde (FLIN) was up 2.6 percent, and electronics maker Siemens (FSIE) gained 3.7 percent. 
--from staff and wire reports
|
|
|
|
|
 |
|
