MW: European stocks advance, with weekly rise in view
Russia’s MICEX falls after new sanctions
By Carla Mozee, MarketWatch
LONDON (MarketWatch) — European stocks rose Friday, with the benchmark poised for a weekly advance after an improvement in U.S. economic conditions spurred buyers back into action.
The Stoxx Europe 600 index XX:SXXP +0.02% tacked on 0.3% to 328.57, as drug-making, finance and mining issues pushed higher.
Stocks built on a modest gain at the end of Thursday’s session. In that seesion, the index was firmly lower until U.S. stocks reversed their losses on a report showing a bounce-back in the Philadelphia-area manufacturing sector and a separate report indicating any impact on U.S. economic data from inclement weather will be short-lived. The S&P 500 Index SPX +0.60% ended 0.6% higher. Asian stocks overnight followed up with gains for major indexes.
Thursday’s turn higher for the Stoxx Europe 600 index is set to help it post a weekly rise of 1.9%, which would mark its first such gain in three weeks.
The U.K.’s FTSE 100 index UK:UKX +0.05% rose 0.2% to 6,555.60, with diversified miner Anglo American PLC UK:AAL +1.38% and precious-metals producer Fresnillo PLC UK:FRES +1.85% among the top price performers as their shares each popped up 1.9%.
But underperforming the broader market, Burberry Group PLC UK:BRBY -2.54% fell 1.8% after a Bank of America Merrill Lynch ratings downgrade of the luxury-goods company to neutral from buy, according to Dow Jones Newswires.
Among country-specific indexes, Germany’s DAX 30 index DX:DAX +0.15% rose 0.5% to 9,339.29, and France’s CAC 40 index FR:PX1 +0.02% lifted 0.3% to 4,341.07.
Shares of Bouygues SA FR:EN -0.98% swung between gains and losses after the French company on Thursday raised the cash portion of its offer to acquire SFR, Vivendi SA’s FR:VIV -0.55% mobile unit.
In Russia, the MICEX Index XX:MCX +0.11% dropped 1.8% after the U.S. imposed sanctions on four influential Russian businessmen and a bank, saying the penalties could apply to anyone who “has acted for or on behalf of, or that has provided material or other support, to a senior Russian government official.” U.S. President Barack Obama on Thursday said the country was preparing broader sanctions should Russia take further steps into Ukraine.
Meanwhile, European Union leaders on Thursday agreed to asset freezes and visa bans on 12 more Russian officials, but sidestepped penalizing powerful oligarchs or companies.
