Bonds help markets to climb again

German shares moved further into record territory in after-hours trading, bolstered by firm Dax and bond futures prices

German shares moved further into record territory in after-hours trading, bolstered by firm Dax and bond futures prices. The stronger dollar and expectations of interest-rate cuts after Dr Tietmeyer's remarks also supported the market.

There were differing views on whether the market can push ahead further, with some feeling that current levels may prove to be a firm resistance level.

Paris CAC-40: 1952.10 (+27.70)

The Paris market rose sharply, mirroring the rise on bond markets, which had strengthened in anticipation of a French interest-rate cut tomorrow.

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Some dealers are also hopeful over plans to co-ordinate French and German economic stimulation measures.

Milan Mibtel: 9324 (+147)

Italian shares rebounded strongly from Monday's losses, following the firmer domestic bond market and the lira, and reflecting most other European equity markets.