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European markets end higher
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January 28, 2002: 12:42 p.m. ET
Auto and oil stocks lead gains, as techs fall back from early gains
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LONDON (CNN) - European markets ended higher on Monday, with auto stocks lifted by positive words from BMW and oil stocks rising on higher crude prices.
London's FTSE 100 edged up 0.6 percent to 5,223.6 and the CAC 40 blue chip index in Paris rose 1.3 percent to 4,541.16 while Frankfurt's electronically traded Xetra Dax was up 0.2 percent to 5,167.85 in late trading, with the German exchange set to close at 1900 GMT.
The pan-European FTSE Eurotop 300, a broader index of the region's largest stocks, was up 0.9 percent, with the automobile and energy sectors leading the gainers.
Germany luxury car maker BMW (BMWG) jumped 4.2 percent in later Frankfurt trading after chief executive Joachim Milbnerg said 2001 sales rose 7.1 percent and he expected similar growth this year. He also said revenues in BMW's auto segment rose 13.1 percent in 2001. Volkswagen (VOWG) was up 3.8 percent, DaimlerChrysler [FSE:DCXGn] was up 2 percent in late trading and French car maker Peugeot (PEUP) closed up 1.2 percent.
Energy stocks got a lift from a rise in crude prices, with Brent futures for March delivery climbing 17 cents to $19.56 a barrel in late London trading.
BP (BP-), the world's third-largest oil company, ended 2 percent higher in London. It also received a boost form Goldman Sachs, which raised its rating on the stock to "recommended list" from "market outperformer." Royal Dutch, which owns 60 percent of the world's No. 2 oil company Royal Dutch/Shell, was up 1 percent in Amsterdam.
Shell Transport & Trading (SHEL), which owns the reminder of Royal Dutch/Shell, rose 1.8 percent in London, while the world's fourth biggest oil company TotalFinaElf (PFP) climbed 1.9 percent.
In the airline sector, KLM soared 8.3 percent in Amsterdam on speculation it will seek closer ties with British Airways after a BA-American Airlines alliance deal fell apart on Friday. But the Dutch airline, Europe's fourth largest, said it had no immediate plans to expand co-operation with BA (BAY), the No.1 carrier in Europe, which closed down 3.3 percent.
Technology stocks were mixed, with many off their highs for the session.
Among Europe's most closely watched stocks, Finnish mobile phone maker Nokia was up 2.5 percent, while Swedish rival Ericsson fell 4.8 percent after Goldman Sachs cut the company's earnings per share estimate following a disappointing fourth-quarter report last week.
STMicroelectronics (PSTM), Europe's biggest chip maker, rose 1.1 percent and Philips Electronics, Europe's biggest consumer electronics company, was up 2 percent.
ARM Holdings (ARM), Europe's largest chip designer, was to top losers in London, falling 8 percent after saying it does not see a quick recovery in the sector. Infineon Technologies (FIFX), Europe's second-biggest chipmaker, was down 0.9 percent - but off its lows for the session - in late Frankfurt trading after the merger of two rivals, Hynix Semiconductor and Micron Technology hit a hitch over price.
Meanwhile, troubled British telecoms company Energis (EGS), which lost two-third of its value last week, said its banks have indicated a desire to support the company. Its shares closed up 11.1 percent, while rival Cable & Wireless (CW-) ended 2.5 percent higher.
Among Europe's smaller markets, Amsterdam's AEX index rose 0.85 percent and Milan's MIB30 index was up 1.1 percent, while the SMI in Zurich gained 0.7 percent.
In the U.S. on Monday, Wall Street rose in early trading on the strength of recent positive earnings results and upgrades by investment banks of some major companies, such as General Motors (GM: up $1.15 to $49.63, Research, Estimates) and Ford Motor (F: up $0.65 to $15.16, Research, Estimates).
The Nasdaq composite index rose 18.06 points, or 0.9 percent to 1,955.75, while the Dow Jones industrial average was up 41.22 points, or 0.4 percent, to 9,955.75. 
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