Commodities stocks help European equities to end sharply higher

martes 15 de diciembre de 2015 13:31 GYT

* FTSEurofirst 300 ends sharply higher

* Commodities stocks in demand

* M&A deals lift Faurecia and Sanofi

By Sudip Kar-Gupta and Atul Prakash

LONDON, Dec 15 (Reuters) - European equities bounced back on Tuesday from sharp declines in the previous two sessions as energy stocks tracked higher crude oil prices and steel makers gained following a European Commission move on Chinese and Russian steel imports.

The STOXX Europe 600 Oil and Gas index surged 3.9 percent, the top sectoral gainer in Europe, after oil rose following its lowest in nearly 11 years. BP, BG Group and Royal Dutch Shell rose 2.6 to 4.0 percent.

"A short-term reversal of the decline in oil prices that began on Monday and continued through Tuesday has relieved the pressure on stock markets," Jasper Lawler, analyst at CMC Markets, said.

"There is significant market risk going into the Federal Reserve meeting on Wednesday ... The prospect of rising interest rates adds to tetchiness amongst investors."

Although the Fed is expected to raise rates on Wednesday for the first time in nearly a decade, euro zone rates are expected to stay at record lows. Low euro zone borrowing costs are one reason why European stocks are expected to rise in 2016, according to a Reuters poll published this week.   Continuación...