By Barbara Kollmeyer, MarketWatch
MADRID (MarketWatch) -- French and German stocks led gains on Tuesday as European stock markets returned to action after the long Christmas-holiday weekend, with a focus on U.S. data to come.
The Stoxx Europe 600 index XX:SXXP +0.01% was up 0.2% to 242.31. The index closed last week up 3.5% amid optimism over upbeat U.S. data, which took the focus off the sovereign-debt crisis.
London markets remained closed on Tuesday. Chinese stocks hit a fresh 33-month low in thin volumes. U.S. markets will reopen on Tuesday with data in focus.
Case-Shiller home prices for October will be released at 9 a.m. Eastern and the Conference Board Consumer Confidence index for December is set for release at 10 a.m. Eastern.
In Europe, gainers were led by the defensive sectors, such as drugs, energy and food. Sanofi SA SNY -0.45% FR:SAN -0.18% rose nearly 1% and Total SA FR:FP +0.34% TOT +0.16% gained 0.7%.
Gains for Total helped the French CAC 40 index FR:PX1 +0.16% rise 0.4% to 3,113.87. Shares of supermarket group Carrefour SA FR:CA +0.21% rose 1.4%, while Metro AG DE:MEO +0.49% rose 1% in Germany.
The German DAX 30 index DX:DAX +0.24% rose 0.3% to 5,898.01 with business-software group SAP AG DE:SAP +0.69% up 1% and SAP +0.38% and retailer Metro AG DE:MEO +0.49% adding 1%.
German Economy Minister Philipp Roesler told the Handelsblatt newspaper that the country’s economy is “very robust” and “well-equipped” for the coming year, even amid difficulties at the international and European level.
On the downside in Frankfurt, shares of Allianz SE DE:ALV -1.62% fell 1.4%.
There were two big Swiss decliners. Shares of Petroplus Holdings AG CH:PPHN -42.86% tumbled nearly 40% after the oil refiner said around $1 billion under its revolving credit facility have been frozen by lenders.
The company said it will try to continue negotiation with banks to reopen the credit lines, which it said are “critical” to allowing its operating units to meet their obligations.
“Today’s announcement is a serious issue as in the worst case the company would lack the funds required to maintain operations. We strongly advise investors to stay clear of the stock until a sustainable financing can be restored,” said analysts at Vontobel Research in a note to investors.
Meanwhile, shares of Oridion Systems Ltd. CH:ORIDN -28.20% fell 17% after the U.S. Food and Drug Administration barred its patient-monitoring equipment from importation into the U.S. in October.
