Euroshares open firmer, lower oil and M&A activity underpins positive sentiment |
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Mon, 19 Feb 2007 10:01
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LONDON (AFX) - Euroshares opened firmer this morning supported by a dip in the price of crude oil and strong gains in Asian markets overnight, with the European reinsurance sector in focus after Converium rejects an approach from Scor, dealers said.At 8.15 am, the STOXX 50 was up 6.26 points at 3,833.32, with the broader STOXX 600 up 0.56 points at 381.37.In Europe this morning, shares in Converium Holdings rose 2.95 sfr to 21.75 after its board of directors rejected an unsolicited proposal by French reinsurer SCOR to acquire Converium at 21 sfr per share, valuing the group at 3.1 bln sfr.'The directors are unanimous in their rejection of this proposal, which they believe fundamentally fails to recognise the value of Converium's franchise and growth prospects, and is, therefore, not in the interest of Converium, its shareholders, and its customers,' the Swiss reinsurance group said.In other news, shares in DaimlerChrysler were up 1.66 at 55.77 as it advances plans to sell or spin off Chrysler Group, its struggling US unit, and has already received 'several expressions of interest from around the world', according to a report in the Wall Street Journal.The newspaper cited two people close to the situation for the report, but did not name the potential suitors for the US automaker.Elsewhere, Germany's Frankfurter Allgemeine Sonntagszeitung reports that DaimlerChrysler and General Motors are considering cooperation on a several projects such as a range of smaller cars and SUVs.Elsewhere, shares in Novartis opened lower on concerns that the approval of blockbuster diabetes drug Galvus in the US might be delayed further.Novartis dropped 1.2 pct to 73.80 sfr.Concerns over a possible further delay were sparked by comments from US broker Prudential, which said on Friday that a Galvus approval might be further delayed by months, with the US Food and Drug Administration likely to further assess the drug's side-effects on skin.Over in Asia last night, the Nikkei finish up 64.44 points at 17,940.09, while over in Hong Kong the Hang Seng was closed for Chinese new year. US markets will be closed today for Presidents Day.On Friday, the Dow rose 2.56, or 0.02 pct, to 12,767.57. It marked the Dow's 30th record close since the start of October and the blue chip index's third record close of the week.Broader stock indicators fell. The Standard & Poor's 500 index fell 1.27 to 1,455.54, and the Nasdaq composite index dropped 0.79 to 2,496.31.newsdesk@afxnews.comnma/jlcCOPYRIGHTCopyright AFX News Limited 2006. All rights reserved.The copying, republication or redistribution of AFX News Content, including by framing or similar means, is expressly prohibited without the prior written consent of AFX News.AFX News and AFX Financial News Logo are registered trademarks of AFX News Limited
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Helsinki shares AFX at a glance outlook 