Eurostoxx 50: 2,772.60 (+9.26) Frankfurt DAX: 7,326.39 (+36.25) Paris CAC: 3,842.70 (+25.95)EUROPEAN STOCKS advanced yesterday after euro area leaders announced a new aid package for Greece and measures to prevent sovereign bond yields increasing.
Greek banks climbed with the Mediterranean nation’s four largest lenders all surging more than 9 per cent.
The Stoxx Europe 600 rose 0.5 per cent to 271.85 at the close in London.
The gauge has rallied 1.9 per cent this week amid optimism that the new aid package will stop the sovereign-debt crisis spreading to the larger economies of Spain and Italy.
“The general view is that it appears to be a comprehensive deal that exceeded market expectations,” said James Knightley, senior economist at ING Bank NV in London.
Euro-area leaders announced €159 billion in new aid for Greece late on Thursday and cajoled bondholders into footing part of the bill.
National Bank of Greece rallied 9.4 per cent to €5.36, while Piraeus Bank soared 12 per cent to €1.02.
EFG Eurobank Ergasias jumped 12 per cent to €3.15.
Alpha Bank surged 19 per cent to €3.60, its biggest rally since 1992.
Banco Espirito Santo climbed 4 per cent to €2.69 in Lisbon and Dexia gained 3 per cent to €2.12.
Vodafone rose 2.3 per cent to 165p after Europe’s third-largest phone company by sales reported that fiscal first-quarter organic service revenue climbed 1.5 per cent as demand for smartphones bolstered data sales.
Volvo climbed 3.6 per cent to 105.70 kronor after the company said second-quarter net income rose to 5.12 billion kronor from 3.15 billion kronor a year earlier, as demand in Europe and North America increased.
Scania jumped 5 per cent to 133.70 kronor. Adidas advanced 3.5 per cent to €54.96 after its chief executive officer Herbert Hainer said that the company will have “high single-digit” revenue growth in 2011.
Thomas Cook, Europe’s second-biggest tour operator, rallied 5.9 per cent to 72p.
Meyer Burger Technology, the biggest maker of solar panel manufacturing equipment, fell 6.2 per cent to 31.10 Swiss francs.
Syngenta dropped 1.9 per cent to 269 francs. – (Bloomberg)
