RTTNews - The European markets rose for the second day on Friday, as banking stocks gained after recent economic reports raised optimism that the global economy is on a recovery path and commodity stocks edged higher after crude oil and metals prices advanced.
The International Monetary Fund may raise its 2010 growth outlook for the world economy in the coming weeks, reflecting some improvements in global economic conditions, the agency's First Deputy Managing Director John Lipsky said today.
Crude for July delivery rose $0.55 to $71.92 a barrel on the New York Mercantile Exchange, by the time the European markets closed, as investors pumped money into the commodities market as a hedge against inflation.
The FTSEurofirst 300 index of pan-European blue chips closed 1.29% higher at 861.63 points, while the narrower DJ Stoxx 50 index rose 1.26% to 2,138.25 points.
Around Europe, the U.K.'s FTSE 100 index climbed 1.52% to 4,345.93, while France's CAC 40 index surged up 0.85% to 3,221.27 and Germany's DAX index rose 0.04% to 4,839.46.
Banking stocks were among the top gainers. Banco Santander, Spain's largest bank, climbed 5%, while Barclays, Britain's third largest bank, surged up 2% and Credit Agricole, France's second biggest lender, rose 1.6%. Asia-focused bank Standard Chartered gained 2%.
Mining stocks edged higher after metals prices rose. BHP Billiton, the world's biggest miner, rose 2%, while Anglo American, the second biggest, surged up 2.7% and Rio Tinto, the third biggest, climbed 2.2%. Copper miner Antofagasta gained 2.4%.
Similarly, heavily weighted oil stocks gained after crude oil prices advanced. BP, Europe's biggest oil company, surged up 1.9%, while Royal/Dutch Shell, the second biggest, climbed 2.1% and Total, the third biggest, rose 0.6%.
Taylor Wimpey, Britain's largest homebuilder, jumped 8.9% after the company said its British order book surged.
For comments and feedback: contact firstname.lastname@example.org