New York/London: European share prices inched higher yesterday on positive corporate news, with gains limited by mixed economic data from the United States.
Asian markets also climbed as investors picked up bargains following losses in the previous session.
In London the FTSE 100 index finished at 5,364.81, up 0.77 percent from Tuesday, while in Paris the CAC 40 rose 0.65 percent to close at 3,809.16. In Frankfurt the Dax added 0.58 percent to reach 5,803.02 points.
Elsewhere there were gains of 0.39 percent on the Swiss Market Index, 0.15 percent in Milan and 0.75 percent in Amsterdam. Share prices fell 0.30 percent in Madrid. US stocks staggered higher after a series of economic reports led by better-than-expected data on jobless claims failed to provide a major catalyst ahead of the Thanksgiving Day holiday.
The Dow Jones Industrial Average was up 0.36 percent at 10,471.35 at mid-day while the tech-heavy Nasdaq had risen 0.30 percent to 2,175.60.
Market action came after economic reports sent conflicting signals to traders. One report showed initial claims for US jobless insurance benefits had plunged to their lowest levels since September last year.
Other data revealed that US incomes rose 0.2 percent and consumer spending jumped 0.7 percent in October, helped by a rebound in auto sales. A third report showed orders for durable manufactured goods fell 0.6 percent in October.
European stocks too were uncertain how to react to the US data. “The different indicators blew hot and cold, with some clearly better than had been expected and others worse,” said Bertrand Lamielle of B*Capital, a unit of BNP Paribas in Paris.
On the Paris exchange media group Vivendi jumped 4.29 percent on a positive recommendation from BNP Paribas-Exane.
Defence and aerospace group EADS was the day’s big loser, shedding 3.80 percent after Citigroup lowered its share price target to ¤14.50 from ¤16.50. In London mining issues led the way, powered by a new record for gold prices, which peaked above $1,180 an ounce. In Asian deals yesterday, Tokyo share prices advanced 0.43 percent in value and Hong Kong closed up 0.84 percent.
