European shares end higher as mining, telecoms stocks gain

martes 5 de enero de 2016 13:40 GYT
 

* FTSEurofirst 300 index up 0.7 pct

* Mining and telecoms stocks among top gainers

* Next shares fall after trading update (Adds details, closing prices)

By Danilo Masoni and Atul Prakash

MILAN/LONDON, Jan 5 (Reuters) - European shares closed up on Tuesday, supported by a rally in mining and telecoms stocks, though worries over China persisted a day after poor Chinese factory data triggered a global stock market sell-off.

Traders also cited talk that weaker-than-expected inflation data might lead the European Central Bank to do more to stimulate the euro zone's economy as a supporting factor.

The pan-European FTSEurofirst 300 index ended up 0.7 percent, after falling 2.5 percent on Monday, when a 7 percent decline in Chinese markets led to its biggest one-day drop since early December. However, some investors remained cautious.

"Short-term uncertainty continues and stocks could reach new lows in the next few weeks, possibly creating some interesting buying opportunities," said Alessandro Allegri, CEO of Italian asset manager Ambrosetti Asset Management.

"The main reason for the uncertainty is China, given that company numbers and the macroeconomic picture in Europe and the U.S. have not changed."   Continuación...