European shares turn higher led by Italy banks, miners

lunes 11 de abril de 2016 04:40 GYT

* FTSEurofirst 300 up 0.6 pct

* Nestle lower as shares go ex dividend

* SAP underperforms after disappointing update

* Italian banks outperform on state plan hopes (ADVISORY- Reuters plans to replace intra-day European and UK stock market reports with a Live Markets blog on Eikon (see cpurl://apps.cp./cms/?pageId=livemarkets for site in development). Adds details, updates prices)

By Danilo Masoni

MILAN, April 11 (Reuters) - European shares were higher on Monday, reversing earlier losses helped by gains in Italian banks and mining stocks.

The pan-European FTSEurofirst 300 index rose 0.59 percent to 1,311.81 points by 0820 GMT, after gaining 1.2 percent in the previous session. In spite of the gains the index is down almost 9 percent so far this year.

The Italian banking sector index rose sharply for a second straight session on hopes the Italian government will soon thrash out a plan to set up a state-backed fund to buy bad loans and plug capital shortfalls.

"Reports of a possible system-wide fund announcement this week are promising but we remain cautious until details are announced," UBS analysts said in a note.   Continuación...