European stocks rose for the first time in a week, as the increased level of production in the UK and Italy. Eurozone ministers also agreed on steps to support the Spanish banks.
Stoxx Europe 600 Index (SXXP) rose 0.8% to 255.6 at the close of trading. Data from Italy and the UK were better than expected. Office for National Statistics said that in Britain the level of production increased by 1.2% in May. The average forecast of 26 economists was for a decline of 0.1%. Total industrial production increased by 1%. In Italy, industrial output grew by 0.8% in May. Economists had forecast a decline of 0.6%. We also learned that European governments agreed to provide 30 billion euros ($ 37 billion) for Spain at the end of July, in order to eventually use the euro rescue fund to recapitalize banks directly, rather than burdening the Spanish government debt.
National indexes rose in all western European markets except Greece and Iceland.
FTSE 100 5,674.71 +47.38 +0.84% CAC 40 3,182.01 +25.21 +0.80% DAX 6,448.57 +61.00 +0.95%
ASML shares rose 8.6% to 43.15 euros, showing the biggest increase since September 2008. Shares of Barclays rose 2.2% to 167 pence.
Logitech International SA (LOGN) grew by 4.3% to 10.12 Swiss francs. The world's largest manufacturer of computer mice, said the board will ask shareholders to approve the one-time dividends.
Marks & Spencer Group Plc (MKS) rose 2.1% to 327.8 pence. The largest clothing retailer in the UK said that the head of general merchandise Kate Bostock resign.
Afren Plc (AFR) increased by 9.1% to 114.3 pence amid speculation he may receive a takeover bid. Exxon Mobil Corporation and Eni SpA are considering possible bids for oil and gas companies.
Ipsen (IPN) has fallen by 11% to 17.70 euros after U.S. regulators suspended the trial of the drug.
Balfour Beatty Plc (BBY) fell by 2.9% to 302 pence after the data for the UK showed that the level of production in 2012 will be in line with expectations.
Sodexo (SW) fell by 5% to 58.19 euros, showing the biggest drop since November 2009. The second-largest supplier of catering services, said that sales growth slowed in the third quarter due to deteriorating economic conditions.
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