By Adam Haigh Dec. 15 (Bloomberg) -- Most European stocks gained after President George W. Bush signaled a decision on rescuing American automakers would be swift, overshadowing a decline in financial companies. Asian shares climbed, while U.S. futures dropped. Daimler AG advanced 2 percent and Toyota Motor Corp. rallied 9.8 percent as Bush said deliberations by his government on tapping the bank bailout fund to keep General Motors Corp. and Chrysler LLC out of bankruptcy “won’t be a long process.” BHP Billiton Ltd. rose 2.1 percent on optimism a rescue of automakers will sustain demand for metals. BNP Paribas SA sank at least 8 percent as Belgian court froze the bank’s plans to buy Fortis. Europe’s Dow Jones Stoxx 600 Index added 0.2 percent to 198.53 at 9:24 a.m. in London, as 14 of 19 industry groups increased. The MSCI Asia Pacific Index climbed 4.2 percent. Futures on the Standard & Poor’s 500 Index expiring in March slipped 0.9 percent. “In the medium term, the bailout would be a good thing,” said Thomas Haerter, chief strategist at Swisscanto Asset Management AG in Zurich, which manages about $60 billion. “There may be a bailout, but it cannot save the underlying problem,” he told Bloomberg Television. Last week’s 4.4 percent rally in the Stoxx 600 was led by construction companies and commodity producers as President-elect Barack Obama said he is planning the most extensive public-works spending package since the 1950s. The U.S., Europe and Japan have entered the first simultaneous recessions since World War II. Annual Loss The measure is still down 46 percent in 2008 as almost $1 trillion in bank losses and writedowns froze credit markets. Analysts have slashed their earnings projections for companies in the Stoxx 600, estimating a 15 percent decline this year, compared with 11 percent growth forecast at the start of 2008. Daimler, the world’s largest truckmaker, gained 2 percent to 24.535 euros. Toyota rallied 9.8 percent to 3,030 yen. The Senate’s rejection of a $14 billion aid package for carmakers sparked a 2.7 percent decline in the Stoxx 600 on Dec. 12 and sent the dollar sliding against the euro. Bush last night “signaled” his administration is considering using money from the $700 billion fund, saying he’s “not quite ready” to announce any rescue plan. BHP Billiton, the largest mining company, increased 2.1 percent to 1,230 pence. Rio Tinto Group, the third-biggest, rallied 3.4 percent to 1,539 pence. Copper gained 2.8 percent to $3,265 a metric ton on the London Metal Exchange. Lead, nickel, tin and zinc also climbed. Bank Shares BNP Paribas declined 8 percent to 40.31 euros after a Belgian court froze the bank’s plans to buy Fortis for 14.5 billion euros ($19.5 billion). Banco Santander SA retreated 2.9 percent to 6.35 euros as Europe’s second-biggest bank by market value, said its hedge fund unit invested 2.33 billion euros of client funds with Bernard Madoff, who allegedly ran a Ponzi scheme that cost investors $50 billion. France’s BNP and Natixis SA, Britain’s Royal Bank of Scotland Group Plc and Man Group Plc, and Swiss bank Reichmuth & Co. are among firms that may also face losses tied to Madoff investments. Royal DSM NV, the world’s largest maker of vitamins, dropped 2.5 percent to 17.16 euros after lowering its forecast for full- year operating profit and saying it will cut 1,000 jobs. Since Oct. 7, quarterly earnings for the 334 companies in the Stoxx 600 that reported results declined 15 percent on average, trailing expectations by 6.3 percent, Bloomberg data show. For the 474 companies in the S&P 500 that have reported results earnings sank 17 percent and missed estimates by 4.2 percent, according to the data. Companies in the S&P 500 are marking down assets at the fastest rate in six years, indicating it may be time to buy stocks. Operating profits are 46 percent higher than net income in the third quarter, a level last seen in 2003 when the previous bull market began. To contact the reporter on this story: Adam Haigh in London at ahaigh1@bloomberg.net.

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