Deutsche Telekom stock leads rally across Europe
Eurostoxx 50:2,860.81 (+68.20) Frankfurt DAX:6,816.12 (+151.72) Paris CAC:3,904.45 (+94.23)
EUROPEAN STOCKS rose, sending the Stoxx Europe 600 Index to the biggest three-day gain since July, as Japan’s atomic crisis eased and US officials said its allies are in full control of Libya’s airspace following two days of air attacks.
“There seems to be some relief as the Japanese situation looks a little better and the allied forces are now in the Middle East,” said Kevin Lilley, a fund manager who helps oversee about $2 billion at Royal London Asset Management.
“I still believe in the global recovery trade,” he said.
Japanese Prime Minister Naoto Kan said he can see “light at the end of the tunnel” as workers at the troubled Fukushima Dai-Ichi nuclear plant reconnected power to two of the failed reactors.
Billionaire investor Warren Buffett said the earthquake is a buying opportunity and he will not sell his Japanese shares as the nation’s future has not been changed because of the temblor.
“I think with each passing hour, each passing day, things are more under control,” US energy secretary Steven Chu said on the Fox News Sunday program.
Deutsche Telekom soared 12 per cent to €10.74, the biggest gain since October 2008.
ATT agreed to buy T-Mobile USA to create America’s largest mobile-phone company, trumping Sprint Nextel’s effort to acquire the business.
The acquisition is the biggest in the wireless industry since 2004.
Vodafone, the world’s largest mobile-phone operator, climbed 3.7 per cent to 176.3p, the biggest increase since October 2010.
Hellenic Telecommunications rose 5.8 per cent to €8.24, the biggest gain in six weeks.
Deutsche Telekom, which owns a 30 per cent stake in Greece’s biggest phone company, has an option to acquire shares if the Greek government sells down its holding.
ING gained 3.3 per cent to €8.95
Taylor Wimpey advanced 3.1 per cent to 41.1p after Credit Suisse upgraded the UK’s second-largest home builder by volume to “outperform” from “neutral”.
Essar Energy dropped 6.5 per cent to 444.1p after the Indian oil refiner and power plant operator said it incurred delays in gaining approval for the development of some domestic coal blocks. – (Bloomberg)