European shares rose in opening trade today amid gains in Germany on hopes for an early general election and a more market-friendly government.
Germany's DAX Index led the way higher, gaining 1 per cent on hopes for reforms after German Chancellor Gerhard Schroeder called for an early national election following a heavy defeat in a key regional vote.
"The announced new elections should give the bourse a tail wind at least for the short term," said market analyst Mirko Pillep at Helaba Trust.
"The prospect of a change of government in Berlin should be welcomed by foreign investors after the recent debate about the excesses of capitalism," he added.
Lower oil prices also lent support to the rise in European shares.
By 8:14am, the FTSEurofirst 300 index of pan-European blue chips was 0.3 per cent firmer at 1,095.9 points; the narrower DJ Euro Stoxx 50 index rose 0.4 per cent to 3,062.7 points.
