European shares rebound as retailers rally

martes 12 de enero de 2016 05:42 GYT

* FTSEurofirst 300 index up 0.4 pct

* Retail shares up on positive updates

* Mining shares fall on weaker metals prices

By Atul Prakash

LONDON, Jan 12 (Reuters) - The pan-European FTSEurofirst 300 index bounced back on Tuesday as shares of retailers rallied, after earlier dropping to its lowest level in more than three months.

Shares in Metro rose 3 percent after the retailer said it had a "very good Christmas business" in Germany, with like-for-like sales up 2.1 percent in December.

British retailers Tesco, Sainsbury and Marks & Spencer advanced 1.3 to 5.5 percent, Debenhams gained 15 percent and Morrisons 15 percent respectively after their encouraging trading updates.

Morrisons, Britain's fourth-largest supermarket group, beat expectations for Christmas trading, reporting sales during the holidays rose for the first since 2012.

"At least on a temporary basis, Morrisons seems to have shaken off some of its relegation form and the share price has reacted accordingly," Richard Hunter, head of equities at Hargreaves Lansdown, said.   Continuación...