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Market Update : 
Banks, Miners Help Europe Recover
Author: Elena Todorova
123jump.com
Last Update: 1:16 PM EDT May 09 2007


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European stock markets recovered from recent losses to finish higher on Wednesday. Rio Tinto jumped 10% in London on speculation that the company had rejected a bid of $110 a share from competitor BHP Billiton which rose 5.4%. Among earnings-related gainers, BNP Paribas climbed 4.2% on higher-than-expected Q1 profit. The DAX Xetra 30 rose 0.5%, the French CAC-40 added 0.3%, and the U.K.''s FTSE 100 closed flat at 6,549.60.

 
Decliners

Aegon slipped 3.7%. The second- biggest Dutch insurer announced first-quarter profit fell 23% to 485 million euros, missing analyst estimates of 619 million euros, as one-time gains were not repeated.

Technology shares declined after the quarterly sales forecast of Cisco Systems, the world biggest maker of computer-networking equipment, missed estimates for the first time in a year.

Alcatel-Lucent, supplier of telecommunications equipment, slid 0.9%. Infineon Technologies AG, Europe second-largest maker of semiconductors, slipped 0.4%.

Commodities

Crude oil traded little changed in New York, near $62 a barrel, after Chevron said four contractors were kidnapped in Nigeria, raising concern supplies from the largest producer in Africa would be disrupted. Crude oil for June delivery was trading at $62.16 a barrel, down 10 cents, in after-hours trading on the New York Mercantile Exchange. Gasoline for June delivery was up 0.12 cents at $2.2057 a gallon in after-hours trading in New York.

Gold for immediate delivery was little changed at $685.62 an ounce in early trade in London . Silver dropped 1 cent to $13.495 an ounce.

Currencies

The dollar was mixed against other major currencies in European trading Wednesday morning. The euro traded at $1.3542, down from $1.3545 late Tuesday in New York. The British pound traded at $1.9918, up from $1.9889. The dollar bought 119.93 Japanese yen, down from 119.95.
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