Milan MIBTEL: 14877 (+502) Italian shares soared yesterday on heavy buying from home and abroad, fuelled by growing optimism over Italy's hopes of joining a single European currency and lifted further by short-covering after the Fib30 index futures contract broke a key resistance level.

Euphoria over Italy's prospects of joining the first round of European Economic and Monetary Union (EMU) reached a new pitch after EU finance ministers agreed at the weekend that planned EMU exchange rates should be agreed next spring.

Frankfurt Dax: 3820.13 (-34.68) German shares regained some ground in after-hours electronic trading, boosted by the early gains on Wall Street and the dollar climbing off its low against the mark. The IBIS Dax closed on 3844.06 with renewed speculation of a German interest rate rise in the months ahead.

Paris CAC-40: 2898.62 (+64.55) French shares rose sharply, driving the index up almost 2.3 per cent, as investors took heart from the stronger opening on Wall Street.