In Europe on Monday, the FTSE Eurofirst 300 was down 0.6 percent to 1,388.98, although the telecommunications and oil sectors saw gains on the day.
The oil sector was mixed even as crude oil prices continued to rise and ABN Amro began coverage of Norsk Hydro and OMV with “buy” recommendations for both companies. Norsk Hydro gained 1.8 percent to NKr987.50, but OMV dropped 1.8 percent to €56.10. Neste Oil, meanwhile, gained 2.3 percent to €29.55. Oil support group Saipem added 2.3 percent as well, to €21.10.
Deutsche Telekom was up 3.7 percent to €14.16 when private equity investor Blackstone purchased a 4.5 percent stake in the telecom from German state development bank KfW. Elsewhere in the sector, Telekom Austria added 1.3 percent to €19.17 and France Telecom was up 1.1 percent to €18.20 as the Blackstone purchase raised hopes of further consolidations in the sector.
Stock exchange Euronext was up 1 percent to €73.05, primarily on a report that the owner of the Dubai Stock Exchange is planning to bid on the European exchange.
In the steel sector, ThyssenKrupp gained 0.5 percent to €26.97 when it said it anticipates that sales in China and Hong Kong will double in the fiscal year and on an upgrade from HSBC from “neutral” to “overweight”. HSBC also raised the steelmaker’s target share price from to €31, up from €18.
Despite a 32 percent rise in earnings in the first quarter, Swiss pharmaceutical company Novartis dropped 1.2 percent to SFr72.50 on the news that it plans to hire 1,000 new sales staff.