European stocks rose this morning, snapping a two-day drop, as most countries in the region agreed to tighter budget controls, outweighing concern over a delay in Greek debt talks.
The Iseq index broke through the psychologically-important 3,000 level this morning, gaining almost 14 points since the opening.
The Stoxx Europe 600 Index climbed 0.7 per cent to 254.18 in London. The benchmark gauge has rallied 18 per cent from its September 22nd low as the US economy maintained its recovery and speculation grew that the euro area will contain the sovereign debt crisis.
EU leaders, meeting in Brussels yesterday, completed a fiscal-discipline treaty that speeds sanctions on high-deficit states and requires euro countries to anchor balanced-budget rules in national law.
Eight countries outside the euro backed the pact, while Britain and the Czech Republic boycotted it. The policy makers, meeting at the 16th summit in two years, also decided to bring the region's permanent bailout fund, the European Stability Mechanism, into operation on July 1st, a year ahead of schedule.
British Sky Broadcasting Group gained 2 per cent to 679 pence after first-half operating profit rose 16 per cent, topping analysts' estimates, as the UK's biggest pay-TV broadcaster sold more broadband products to its subscribers. Earnings before interest, taxes, and exceptional items in the six months ended December 31st increased to £601 million, beating forecasts for £585 million. Sales climbed 6 per cent to £3.4 billion.
Bloomberg
:quality(70)/cloudfront-eu-central-1.images.arcpublishing.com/irishtimes/VR3765MFOBH2NMV2QNICYDF67M.png)