European markets moved ahead in spite of a renewed wave of interest rate uncertainty following stronger-than-expected US output figures for the third quarter. The FTSE Eurobloc 100 index ended below the best of the session but still 0.3 per cent better at 1,193.51. The FTSE Eurotop 100 index added 0.2 per cent at 3,293.98 and the FTSE Eurotop 300 index improved 0.3 per cent to 1,418.79.

Frankfurt ended little changed after another uncertain session for the banking sector. The Xetra Dax index added 3.99 at 5,818.73.

Banks, under pressure lately from bad debt worries following the failure of the Philipp Holzmann construction group, had to cope with renewed interest rate concerns. Deutsche Bank came off 30 cents at €67.40 and Dresdner Bank €1.04 at €47.90. HypoVereinsbank shed 93 cents at €63.75.

Amsterdam moved lower for the fourth consecutive session, losing 1.16 at 598.97 on the AEX index. Media group Wolters Kluwer was heavily sold following a two-day meeting with analysts. Having surged by 9.9 per cent on Friday on the eve of the meeting, the shares came off 3.27 or 9.5 per cent at 31.23.

ABN-Amro shed 49 cents to €24.22 and Akzo Nobel lost 55 cents at €41.40. An earnings upgrade by Lehman Brothers helped retailer Ahold to a 93 cents or 3.1 per cent gain to €30.88.

Paris closed higher, with Internet-related stocks grabbing the limelight. The CAC 40 index closed up 36.51 to 5,189.38. Pay TV group Canal Plus was the biggest percentage gainer in the CAC, rising €6.3 or 8.8 per cent to €77.55. The shares were caught up in a buying frenzy of Internet-related stocks triggered by OpenTV's IPO in Amsterdam and New York.

Milan was higher as investors rushed into stocks with Internet exposure and sent computer software maker Finmatica rocketing to a theoretical 500 per cent premium to its offer price. Late gains in Telecom Italia also provided support. The Mibtel index finished 187 higher at 24,272.

Finmatica shares were suspended after investors bid the stock up to a 500 per cent premium to its offer price as the stock made its bourse debut. After the market closed, the bourse authorities said they had widened trading bands on the stock to an unprecedented 999 per cent for today's session. Telecom Italia put on 3.9 per cent to €10.42 as its plans to spin off its Internet subsidiary, tin.it, brought a number of positive analysts' recommendations.