Frankfurt Dax: 2702.64 (+19.36)

In Frankfurt, the Dax index rose 19.36 points to 2702.64, a new record closing high. Most of the gains were accounted for by the market catching up with the screen based DAX Ibis index which hit 2,704.25 in post bourse trading on Friday. Chartists now believe that the Dax can soar to 2800 by the end of the year.

Paris CAC-40: 2151.55 (-1.14)

French shares were more restrained and were trading just below opening levels as the bourse continued to consolidate in the afternoon. Brokers said the market was technically well oriented, but was still digesting the market's recent climb to the 2150 level.

Milan MIBTEL: 9990 (-97)

Italian shares gave up early gains to close lower as trading interest tailed off in the afternoon session amid some concern over the budget's passage through parliament. Shares had started cautiously higher on the back of firmer bonds, a firmer lira and firmer international equity markets. But the optimistic mood soon evaporated as worries emerged over the budget.