[R]1:00PM NY, 5:00 PM Frankfurt European markets finished higher, led by tech and insurance stocks.[/R]

European stock markets finished in the positive on Wednesday, with German stocks reaching a record high, boosted by strength among technology and insurance stocks. A strong opening on Wall Street also gave a boost.

The world's biggest mobile phone maker Nokia advanced 1.8% after it unveiled a new corporate structure. Nokia's supplier Bluetooth firm CSR surged 6.4% after it was upgraded to outperform from neutral by Credit Suisse. Chipmaker Infineon Technologies was another gainer in the tech sector, moving up 1.8%.

Among insurance stocks, Allianz rose 2.1% amid deal speculations. Zurich Financial added 1.8%. Losses in the retail sector helped limit gains, with DSG International and H&M moving notably lower. Swedish clothing chain H&M lost 1.5% after its Q2 pretax profit came in short of expectations. DSG International fell 0.6% after it said annual adjusted profit before tax dropped 5%.

The German DAX 30 advanced 0.7% at 8,090.49 to reach a new closing high. The French CAC-40 gained 0.4% to 6,093.29. The U.K. FTSE 100 edged lower to close at 6,649.30.


[R]11:30AM Market averages turned lackluster amid cautiousness about bond yields.[/R]

U.S. stock averages turned in a lackluster performance for the third straight session, due to a lack of significant economic data. Investors were also cautious about Treasury bond yields. The 10-year note's yield was at 5.11%, up from 5.09% late Tuesday. Some positive sentiment was generated by falling oil prices and Home Depot's $22.5 billion stock-repurchase program. Crude oil prices retreated after the Energy Department reported U.S. crude and gasoline inventories rose last week.

Home Depot (HD: chart) led blue chips higher with an advance of nearly 7%. Among earnings-related movers, FedEx (FDX: chart) said its Q4 profit rose 7%, helped by an 8% increase in revenue and higher package volumes. Company's stock rose 3.1%. Shares of CarMax (KMX: chart) surged 11% after the used car retailer reported Q1 earnings that came in line with analyst estimates and confirmed its full year guidance. Circuit City (CC: chart) traded up 0.6%, although the retailer reported quarterly loss.

By sector, airlines, telecoms and broker/dealers stocks posted strength. Brokers were supported by 2% in the shares of investment bank Morgan Stanley (MS: chart) on the back of 40% earnings rise. Among airline stocks, Continental (CAL: chart) rose 3.3%, AMR (AMR: chart) advanced 3.2%, and US Airways (LCC: chart) gained 2.8%. At the same time, oil, real estate investment trusts and utilities declined.

In late morning trading, the Dow Jones industrial average rose 24.87, or 0.18%, to 13,660.29. The Standard & Poor's 500 index gained 1.20, or 0.08%, at 1,534.90. The Nasdaq composite index advanced 4.20, or 0.16%, to 2,630.96.


[R]9:45AM Wall Street opened higher, lifted by Morgan Stanley and Home Depot.[/R]

Wall Street opened higher, lifted by falling bond yields, better-than-forecast profit at Morgan Stanley and a $22.5 billion buyback at Home Depot. Shares of Morgan Stanley (MS: chart), No. 2 U.S. investment bank, rose 2% on 40% profit rise. Blue-chip stocks were led higher by Home Depot (HD: chart) whose shares surged nearly 7%.

Among other earnings-related movers, Circuit City (CC: chart) shares declined after the electronics retailer posted Q1 loss of 33 cents per share, compared with a profit of 4 cents a share last year, missing estimates of a loss of 32 cents per share. Revenue fell 4% to $2.49 billion, as more customers purchased low-margin products.

Further in earnings news, CarMax (KMX: chart) surged 9.4% after the retailer said its Q1net income rose 15% to $65.4 million, or 30 cents a share, from $56.8 million, or 27 cents a share a year ago, meeting analyst estimates. CarMax reaffirmed 2008 earnings forecast of $1.03-$1.14 a share.

FedEx (FDX: chart) rose 2% after the company reported a 7% quarterly profit rise. The company also settled an issue with Airbus over a cancelled order for the A380 superjumbo. In corporate news, MGM Mirage (MGM: chart) dropped 10% after Kirk Kerkorian's Tracinda said it is ending negotiations on the potential purchase of MGM Mirage's properties. The Dow Jones Industrial Average was down 14 points at 13,619The S&P 500 index fell 2.98 points to 1,530, while the Nasdaq Composite fell 4.9 points to 2,621.


[R]9:30AM The FTSE 100 advances in mid-day trading on strong mining stocks.[/R]