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Bourses post small gains
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September 30, 1999: 1:08 p.m. ET
Paris big winner as fast U.S. trading start helps Eurostocks at the close
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LONDON (CNNfn) - Europe's main markets managed modest gains Thursday in a subdued session, pulled out of the red by a positive start to New York trading. Only French blue chips showed any sign of life as Paris notched up gains of more than 1 percent.
The CAC 40 in Paris was the best performer throughout the session and was the only market to make any significant gains. French blue chips closed 1.2 percent higher at 4,591.42, a jump of 56 points, as strong results from Europe's largest insurer Axa kept financial stocks firm.
The FTSE 100 in London posted a small 9 point gain to close at 6,029.8, after it has spent most of the session on the wrong side of the 6,000 barrier.
The Xetra Dax in Frankfurt managed to scrape back into the black right at the close as it finished 14 points higher at 5,149.83.
The SMI in Zurich managed a rise of 15 points to end at 6,907.4, a rise of just 0.2 percent.
The FTSE Eurotop 300, a broader gauge of the largest pan-European stocks, reflected the uninspired mood in Europe as it finished flat at 1,280.39. Technology stocks were the biggest losers, with the health, construction and chemical sectors pulling in the other direction.
Bourses spent most of the session in the red, but got a boost from Wall Street's positive open following data showing unexpectedly modest U.S. economic growth in the second quarter that eased fears of an imminent rise in U.S. interest rates.
The upside was limited for U.S. stocks, however, by strong home sales data released later in the morning.
In New York, the Dow Jones industrial average traded around 0.5 percent higher as the main European bourses closed.
The euro was stronger against the dollar for much of the session but pared some its gains late in the day in Europe to stand around $1.0640.
Telecom network provider Colt Telecom (CTM) was the biggest winner in London as its shares soared more than 6 percent.
The gains came in stark contrast to the fortunes of sector heavyweight British Telecommunications (BT.A), which knocked 15 points off the index as it plunged 4.9 percent. Traders were reacting to rumors of a number of analysts' downgrades.
Other sector heavyweights also endured a losing session with few clear trends. Banking giant Lloyds TSB (LLOY) fell 3 percent, while in the pharmaceuticals sector SmithKline Beecham (SB) slumped 4 percent.
Chemicals group ICI (ICI) enjoyed a strong session on a report that it is close to selling its acrylics arm for $500 million. The stock jumped 5.6 percent.
Investment bank Schroders (SDR) was another big gainer as it put on 5.3 percent.
Retailer Boots (BOOT) closed 3 percent higher, as the company started a share buy-back program.
In Frankfurt, engineering conglomerate Linde (FLIN) led the gainers as it notched up a 4.2 percent rise.
Chemicals giant BASF (FBAS) closed 3 percent higher after a positive analyst's note and rumors that it is about to disclose a restructuring.
The two big utilities, Viag (FVIA) and Veba (FVEB), both suffered as investors continued to pocket profits after strong runs ahead of the anticipated merger announcement. The two stocks fell 2.5 percent and 2.9 percent, respectively.
In Paris, hotel group Accor (PAC) closed 3.2 percent higher after reporting a 2.7 percent decline in first-half profits Wednesday, though full-year earnings are expected to rise.
Europe's largest insurer, Axa (PCS), helped buoy other financial stocks in Paris as the shares jumped almost 4 percent after the firm posted a higher-than-expected rise in first-half profits.
France Telecom (PFTE) made similar gains, while electronics company Schneider Electronics (PSU) jumped 4.4 percent.
Pharmaceuticals maker Rhone Poulenc (PRPP) was the biggest gainer as it closed 6 percent higher, after recent weakness.
Technology consultant Cap Gemini (PCAP) outstripped the other 10 losers as it plummeted after a thinly-veiled profit warning. The shares nose-dived almost 14 percent.
Pay-TV operator Canal Plus (PAN) continued to lose ground, off 2.9 percent after an earnings downgrade from Goldman Sachs.
In Zurich, Ciba Specialty Chemicals led the gainers to close 2.2 percent higher. CS Group, the parent of Credit Suisse, rose 2 percent. 
-- from staff and wire reports
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