Frankfurt recovers previous losses

 

Shares in Frankfurt closed higher after a volatile session in which the Xetra DAX index picked up from a low of 4,647.88 to end 44.62 better at a day's high of 4,855.90.

In motor stocks, Volkswagen closed 10.30 deutschmarks higher at DM135 after the company forecast an 11 per cent rise in 1998 commercial vehicle sales. BMW, by contrast, tumbled DM79 to DM1,225, hurt by a stronger Dmark.

Banks put in a mostly better showing on the view that they were oversold on Russian worries. Commerzbank put on DM2 to DM52.20 and Deutsche Bank rose DM4.60 to DM113.35.

Paris ended little changed after a volatile, high-volume session. The CAC-40 index, which sank to 3,516.25 at one stage, closed only 5.56 lower at 3,646.29 in volume of 25.4 million shares.

Software leader Cap Gemini was the major casualty, falling 7.2 per cent or 67 French francs to Ffr863.

Financials stayed weak. Axa-UAP shed Ffr34 to Ffr646 while falls of more than 3 per cent were commonplace among banks. BNP came off Ffr12.50 at Ffr378.

Amsterdam closed off the day's lows with the AEX index down 18.39 at 1,068.24 in moderate turnover. Philips, hit by US-driven selling, led the way down. The shares fell 7.30 guilders to fl 122.10 for a two-day decline of 8.9 per cent. DSM came off fl 9.80 at fl 165.40 and Buhrmann fl 2.10 at fl 42.90. Royal Dutch, buoyed lately by merger talk, shed fl 1.90 to fl86.30.

Madrid pared its mid-session losses to close with the general index off a modest 5.51 at 731.54. Telefonica, which turned in solid six-month results, ended 40 pesetas lower at pta5,690. The banks had an especially volatile session.