Optimism over oil output deal powers European shares rally

miércoles 17 de febrero de 2016 13:55 GYT

* FTSEurofirst 300 jumps 2.7 percent

* Credit Agricole up after results

* Glencore gains after refinancing debt

* RWE slumps after dividend scrapped (Adds details, updates prices)

By Danilo Masoni and Sudip Kar-Gupta

MILAN/LONDON, Feb 17 (Reuters) - European stocks rallied on Wednesday, boosted by optimism over a deal to freeze oil output, with French bank Credit Agricole and miner Glencore leading the bounce.

The pan-European FTSEurofirst 300 extended earlier gains to finish up 2.7 percent after Iran voiced support for an initiative led by Russia and Saudi Arabia to freeze production in an oversupplied market.

"Sentiment has improved, the oil is up and banks are doing better," Stefan de Schutter, trader at Alpha Wertpapierhandels in Frankfurt, said. "(Iran's remarks) have given a further boost and now the market hopes for a solution."

Iranian Oil Minister Bijan Zanganeh met counterparts from Venezuela, Iraq and Qatar in Tehran for over two hours on Wednesday, saying a proposed production "ceiling" should be the first step toward stabilizing the market.   Continuación...