Eurostoxx 50: 3,030.46 (+12.08) Frankfurt DAX: 7,400.04 (+3.41) Paris CAC: 4,110.34 (+13.72)EUROPEAN STOCKS rose for a third day yesterday, sending the Stoxx Europe 600 Index to its highest level since September 2008, as companies from Barclays to Danone posted results that beat analysts' estimates.
“For the moment, the motor is the transfer of money into stocks and that’s confirmed by 2010 earnings,” said Yves Maillot, head of investments at Robeco Gestion in Paris, which oversees $5.41 billion.
“Earnings have been the wind carrying the market. In the short term, we may have a correction. For the past month, investors have been looking at all of the positive points. We could have new questions on the situation as a whole,” he said.
The rally in the Stoxx 600 has pushed the measure to about 15.5 times the reported earnings of its companies, near the highest level in nine months, according to data compiled by Bloomberg.
Barclays gained 5.8 per cent to 328.85p. The bank said full-year net income was £3.6 billion ($5.77 billion), beating a forecast of £3.2 billion in a survey of analysts.
UniCredit, Italy’s largest bank, increased 3.3 per cent to €1.91. The stock was raised to “buy” from “sell” at Société Générale.
Danone, the world’s biggest yogurt maker, advanced 3.3 per cent to €45.38. The company said full-year profit rose 18 per cent on sales of Aqua bottled water and Dumex infant formula in Asia.
Deutsche Börse lost 2.5 per cent to €59.8.
Rio Tinto fell 2.6 per cent to 4,561.5p.
Kazakhmys, Kazakhstan’s biggest copper miner, lost 2.8 per cent to 1,535p.
Anglo American, which controls the world’s largest producer of platinum, slipped 3.6 per cent to 3,312.5p.
Imtech NV fell 1.5 per cent to €27.80. The largest Dutch technical-services company said full-year net income rose to €140 million from €126 million a year earlier.
Trelleborg the world’s biggest maker of vibration-dampening gear tumbled 10 per cent to 62.85 kronor.
Micro Focus sank 27 per cent to 287.3p, the biggest drop since August, the company said revenue and adjusted earnings were below management forecasts. – (Bloomberg)
