European stocks rebound

Published July 4, 2007

LONDON, July 3: Europe's main stock markets rose strongly in early trading on Tuesday, with Frankfurt's DAX spiking back above 8,000 points after a rally by Wall Street overnight.

London's FTSE 100 index of leading shares rose 0.66 percent to 6,634.30 points, Frankfurts DAX 30 index jumped 1.05 percent to 8,041.92 points and in Paris the CAC 40 climbed 0.71 percent to 6,069.70.

The DJ Euro Stoxx 50 index of leading eurozone shares increased by 1.00 percent to 4,514.77 points.

The euro stood at 1.3604 dollars.

Wall Street shares rallied Monday as investor sentiment was boosted by a flurry of news on corporate dealmaking and a robust report on the US factory sector, dealers said.

In Frankfurt, MAN saw its share price surge 2.31 percent to 109.79 euros after US broker Goldman Sachs added the German heavy truck manufacturer to its “conviction buy list.”Goldman raised its price target to 125 euros per share from 113.

In London, Rolls-Royce soared 3.45 percent to 554 pence after the engine maker said it had won orders across all areas of its businesses and increased its global customer base significantly during the second quarter.

Elsewhere, Danone gained 2.82 percent to 62.67 euros in Paris after the French food group said it was in exclusive talks with US rival Kraft Foods about the sale of its biscuit unit for 5.3 billion euros (7.2 billion dollars).—AFP