The Iseq in Dublin rose by 0.6 per cent as most euro zone markets advanced on expectations of more monetary stimulus.
After European Central Bank chief Mario Draghi promised on Friday to use whatever means necessary to raise inflation, investors bet that the ECB would soon unveil new measures, possibly including government bond purchases.
Sentiment was also boosted by data showing that German business sentiment rebounded in November, a sign that Europe’s largest economy may be gaining some momentum.
US stocks also rose in anticipation of fresh ECB bond-buying action.
DUBLIN Bank of Ireland was one of the most heavily traded stocks on the Iseq, traders said, as banks across Europe rode the wave of expectation surrounding further ECB action. More than 46 million shares in BOI changed hands, leaving the stock up almost 1.3 per cent at 31.5 cents.
Kerry dipped almost 1 per cent to close at €56.02, following speculation that it may sell off its frozen foods division. The stock opened down and slid throughout the day. Greencore has been tipped as a potential suitor if Kerry pulls the trigger on a sale process.
Also in the agrifood sector, Origin Enterprises advanced by 0.6 per cent in a late afternoon rally to close at €8.45. Two hours before the markets closed, it was down by 0.5 per cent. The company announced that revenues for the three months to November rose by 3.5 per cent to €318 million.
Bookmaker Paddy Power fell by almost 1.9 per cent to €61.54. The company announced that Smurfit Kappa chief executive Gary McGann will join the board.
LONDON Shares in BT rose 3.7 per cent after it said it had been approached by shareholders in Spain’s Telefónica, owner of O2, and another UK network operator about BT buying their British businesses.
UK insurer Friends Life surged 5.9 per cent after rival Aviva agreed terms on a possible deal to buy it for £5.6 billion (€7.07 billion). Aviva slipped 5.4 per cent.
FirstGroup slumped 9.7 per cent after a report that the UK rail and bus operator will miss out on the upcoming London-Scotland East Coast Main Line train contract.
Petrofac plunged 26 per cent after the oil and gas services firm's profit targets disappointed, highlighting how the sector is struggling with plummeting crude oil prices.
EUROPE The Euro Stoxx 50 index rose 0.6 per cent, taking its gain since the close on Thursday to 3.5 per cent, the biggest two-day rise in 18 months. Banks in the Stoxx 600 advanced 1.3 per cent, contributing the most to the gain.
Banco Santander added 2.5 per cent and Société Générale rose 2.1 per cent. Raiffeisen Bank International rose 2.3 per cent after ING raised its stock rating to buy from hold, while Metro increased 3.7 per cent after a Macquarie upgrade.
NEW YORK Cimatron, an Israeli software company, jumped 42 per cent to $8.65 (€7) on its heaviest ever one-day volume after 3D Systems agreed to buy the company for $97 million (€78.2 million). Shares of 3D jumped 6.1 per cent to $37.31 (€31).
Best Buy, the world's biggest electronics chain, jumped 1.8 per cent before Black Friday kicks off the year's busiest shopping season. Consumer-focused companies rose the most out of any group in the S&P 500, led by Urban Outfitters, which increased 5.1 per cent. Coach climbed 2.7 per cent.
The National Retail Federation predicts that US retail sales will rise 4.1 per cent this Christmas, more than the 2.9 per cent average of the past 10 years.
Verizon slid 1.9 per cent as Citigroup cut its rating on the company to neutral from buy. It cited expectations of below-consensus earnings per share in 2015 stemming from higher costs, as well as slower revenue growth due to increased rate- plan competition. – (Additional reporting: Bloomberg/Reuters)
