Nestle and Deutsche Post prop up European shares

miércoles 2 de abril de 2014 10:14 GYT
 

* FTSEurofirst 300 on track for seventh day of gains

* Speculation about new ECB measures buoys European stocks

* Nestle and Deutsche Post add most points to FTSEurofirst

By Sudip Kar-Gupta

LONDON, April 2 (Reuters) - Gains at food group Nestle and Deutsche Post propped up European shares on Wednesday, with a pan-European equity index on track for its seventh day of gains.

The possibility of new stimulus measures from the European Central Bank when it meets on Thursday also helped to lift European stock markets.

The pan-European FTSEurofirst 300 index edged up by 0.1 percent to 1,342.21 points in late-session trading, putting it on track to extend a winning streak into a seventh straight day. Nestle rose 1.9 percent rise and Deutsche Post 4.4 percent; together they added the most points to the FTSEurofirst 300.

Nestle was boosted by brokerage Bernstein's decision to raise its rating on the stock to "outperform" from "market perform." Deutsche Post gained after it said it expected profits to increase through to 2020.

"European equities are set to give good returns this year. Flows have turned positive, GDP should grow by at least 1 percent and corporate profits by around 10 percent," said Philip Dicken, head of European equities at Threadneedle Investments. "A weaker euro, which is a likely result of looser European monetary policy, will boost profits further."   Continuación...