Madrid shares higher midsession as Banesto, banks shine; Iberia outperforms

Madrid shares higher midsession as Banesto, banks shine; Iberia outperforms

	Published : Fri, 30 Nov 2007 12:44 By : Agencies Print this Story

MADRID (Thomson Financial) - Share prices were higher in midday trade, in line with European peers and higher US futures, with Banesto, Bankinter and other banks again in focus amid continuing speculation, and Iberia back in the limelight on fresh tie-up talk.

At 12.45 pm, the IBEX-35 index put on 52.20 points to 15,708.8, after trading in a range of 15,643-15,759.

Equities opened higher, boosted by a firm close in the US and Asia and as US futures climbed amid increasing hopes for a rate cut there.

Iberia led the gainers to soar 0.13 eur, or 4.19 pct, to 3.23 after a report in La Gaceta de los Negocios said that Caja Madrid is looking to negotiate with parties interested in bidding for Iberia, indicating the savings bank's interest in a tie-up for the airline.

Banesto rose 0.57, or 3.94 pct, to 15.02, amid more speculation after a local press report said Merrill Lynch sees the possibility of Bankinter and Banesto merging in a defensive move by Jaime Botin.

Bankinter gained 0.14 to 13.99 pct, as the battle for control by Botin and Credit Agricole is seen continuing.

Other banks were also firm, with BBVA up 0.12 at 16.98, Santander up 0.01 at 14.55, Popular adding 0.06 to 18.29, and Sabadell 0.03 higher at 7.76.

Among other heavyweights, Telefonica put on 0.11 to 22.99 and Repsol YPF rose 0.18 to 25.07.

Builders were firm, with FCC up 1.20, or 2.13, at 5750, Acciona 4.35 higher at 232.50, ACS up 0.33 at 43.45, and Ferrovial rising 0.35 at 58.45.

On the down side, Sogecable fell 0.71, or 2.83 pct, to 24.75 after a downgrade to 'sell' from 'neutral' at Goldman Sachs with a target price cut to 21 eur from 27.

Among smaller caps, Zeltia climbed 0.35, or 5.32 pct, to 6.93 after the company announced another capital hike, in line with its credit line agreement with Santander.

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