European stock prices have reached their highest levels in the past six years, influenced by speculation about mergers and acquisitions, with support also coming from the mining sector. The London FTSE index strengthened by 0.4 percent by noon, reaching 6,446 points. The Frankfurt DAX was up nearly 0.5 percent, reaching 6,990 points. “Our markets are partly driven by activities in the area of mergers and acquisitions, a fairly low level of interest rates, and there are still some significant inflows of capital into the markets, so liquidity exists,” said Romain Boscher at Group Asset Management.
Trading in stocks was also influenced by the fact that American markets were closed due to the holiday, and many Asian markets were also closed. Among individual winners, the stock of DaimlerChrysler stood out, gaining value for the fifth consecutive day due to ongoing stories that the American-German automotive giant could sell or spin off its struggling American subsidiary Chrysler.
It rose further by 3.7 percent. Carrefour shares strengthened by 3.3 percent, reaching their highest level in the last three months, influenced by ongoing stories and speculation in the markets that the Halley family, the largest shareholder of Carrefour, is interested in selling its 13 percent stake. In the mining sector, the stock prices of industry leaders Rio Tinto, Vedanta, and Xstrata were up, primarily due to optimistic forecasts related to the rise in copper prices. The Tokyo Stock Exchange’s Nikkei index reached its highest closing level of 17,940 points, strengthening by 0.36 percent. (H)
