By Barbara Kollmeyer, MarketWatch
MADRID (MarketWatch) — European stock markets traded higher on Monday after two straight days of losses, helped by gains for autos and banks, though holidays in both the U.S. and U.K. were keeping volumes thinned.
The Stoxx Europe 600 index XX:SXXP +0.17% rose 0.2% to 303.89, holding onto gains after two straight sessions of losses. The index closed down 1.7% last week, breaking a four-week winning streak.
Action is limited owing to the Memorial Day holiday in the U.S. and a Spring Bank holiday in the U.K.
Among stocks that pushed ahead, shares of Fiat SpA IT:F +3.51% rose 3.6% after The Wall Street Journal reported over the weekend that the company is in talks with banks to closing the financing for the Chrysler buyout. A spokesperson for Fiat could not immediately be reached for comment.
The heavyweight helped push the FTSE MIB Italy index XX:FTSEMIB +1.20% up 1.3% to 17,132.99, making it the day’s best performer so far. The index was also aided by a 1.4% gain for Eni SpA IT:ENI +1.24% .
Vivendi SA FR:VIV +2.57% added 2.6%. Qatar Telecom QSC’s chief executive officer told Bloomberg News in an interview that the company has raised $12 billion to finance its bid for a majority stake in Marco Telecom SA, which is 53% owned by Vivendi. It’s competing with Emirates Telecommunications Corp. to buy that stake.
Easy global money has been a factor that has helped the Stoxx 600 gain more than 8% year-to-date and recent concerns that the Federal Reserve will begin to pare that program have weighed on the index. U.S. stocks fell for the first week in five last week on those Fed concerns, though losses were mild owing to an upbeat durable goods report. Read: No easy way out of QE for Fed or BOJ
Gains for Europe came as Japan stocks closed 3.2% lower, after picking wiping out a 0.9% gain from Friday. Hong Kong stocks rose 0.3%.
The French CAC 40 index FR:PX1 +0.68% gained 0.7% to 3,985.83, helped by Vivendi SA FR:VIV +2.57% and a 1.5% gain for BNP Paribas SA FR:BNP +1.56%
The German DAX 30 index DX:DAX +0.69% rose 0.7% to 8,364.03, as Commerzbank AG DE:CBK +4.67% gained over 4%. The bank was reportedly upgraded by Equinet Bank AG.
In Spain, Banco Santander SA ES:SAN +1.32% SAN -1.13% rose 1.3%. The Polish unit of Santander is eyeing more acquisitions in the next few years as it seeks to become a leader in emerging markets, Chief Executive Officer Mateusz Morawiecki told The Wall Street Journal in an interview.
Barbara Kollmeyer is an editor for MarketWatch in Madrid. Follow her on Twitter @MWBarbaraKollmeyer.
