European shares rebound as Ukraine rebels hand over black boxes
* FTSEurofirst 300 up 0.7 pct
* Ukraine rebels hand over black boxes from Malaysian plane
* Actelion top riser as results revive M&A speculation
By Francesco Canepa
LONDON, July 22 (Reuters) - European stocks rebounded on Tuesday with traders hoping for an easing of tensions between Russian and the West after pro-Russian rebels agreed to hand over the black boxes from the Malaysian plane downed in Ukraine last week.
By 0721 GMT, the pan-European FTSEurofirst 300 index was up 0.7 percent at 1,364.75 points.
Heightened tensions between Russia and the West following the plane incident and the prospect of harsher Western sanctions on Russia, combined with escalating violence after Israel's ground offensive in Gaza, have weighed on equities in the past week and traders expected the market to remain jittery.
"There will probably be some relief early on but with some risk-off remaining," Mike Reuter, a broker at Tradition, said. "There's no resolution to the conflict. Fighting in Donetsk continues and the Gaza conflict is also ongoing."
European Union foreign ministers were scheduled on Tuesday to discuss further penalties against Russia, but the most they are expected to do is to speed up the implementation of sanctions against individuals, and possibly companies, agreed in principle last week before the plane was brought down. Continuación...