RTTNews - The European markets rose for the sixth day on Monday on further evidence that the U.S. recession is easing.
The Conference Board in the U.S. said in its report that the leading indicators index increased by 0.7% in June following an upwardly revised 1.3% increase in May. Economists had expected the index to increase by 0.5% compared to the 1.2% increase originally reported for the previous month.
Crude for August delivery rose $0.39 to $63.95 a barrel on the New York Mercantile Exchange, by the time the European markets closed.
The FTSEuofirst 300 index of pan-European blue chips closed 1.22% higher at 881.19 points, while the narrower DJ Stoxx 50 index rose 1.23% to 2,185.42 points.
Around Europe, the U.K.'s FTSE 100 index surged up 1.25% to 4,443.62, while France's CAC 40 index climbed 1.63% to 3,270.94 and Germany's DAX index rose 1.04% to 5,030.15.
Economy sensitive banking stocks were among the top gainers. HSBC, Europe's largest bank, surged up 2.6%, while BNP Paribas, France's largest bank, rose 2.2% and Deutsche Bank, Germany's biggest lender, climbed 2%.
Lloyds Banking Group, Britain's biggest mortgage lender, jumped 6.7% after the Sunday Times reported that the company may post a profit for the first six months of the year after accounting rules allowed it to write back billions of pounds of sub-prime investments.
Mining stocks rallied after copper prices rose. BHP Billiton, the world's biggest miner, climbed 3.4%, while Rio Tinto, the third biggest, surged up 3.6% and copper miner Antofagasta rose 2.8%.
Heavily weighted oil stocks also gained. BP, Europe's biggest oil company, climbed 1.5%, while Royal/Dutch Shell, the second biggest, rose 1% and Total, the third biggest, surged up 1.4%.
GlaxoSmithKline, Europe's biggest drugmaker, rose 2.6% after the Sunday Telegraph said the company's sales of its swine flu vaccine may reach £1.3 billion in 2010 as concerns about the virus rise.
On the other hand, Volkswagen, Europe's biggest carmaker, slipped 5.4% after Deutsche Presse-Agentur reported Porsche SE may delay a decision on combining the companies until the end of July.
For comments and feedback: contact firstname.lastname@example.org