In Europe on Tuesday, the FTSE Eurofirst 300 dropped 0.6 percent to 1,444.16 as banks saw losses.

UBS dropped 5.1 percent to SFr74.30 after it said it saw net profits drop by 21 percent in the third quarter. It still insisted, however, that sentiment has improved and it will fulfill expectations for full-year profits. Credit Suisse was also lower, falling 1.3 percent to SFr75.

Also down on its quarterly report was Sanofi-Aventis. The pharmaceuticals company dropped 2.8 percent to €66.60 on the news that profits fell 11.6 in the third quarter, about as much as had been expected.

Things were better in the automobile manufacturing sector. DaimlerChrysler added 3.1 percent to €44.70 after a German publication reported that a spin-off of the Chrysler unit was not being ruled out by the carmaker, a rumor that not all analysts were buying. Elsewhere in the sector, Fiat was 1.1 percent higher to €13.84 and Renault gained 1.2 percent to €91.65.

European insurers were also higher after a positive third-quarter report sent Friends Provident up 6.7 percent in the UK. Generali added 1.4 percent to €31.09, while CNP Assurances was up 1.7 percent to €82.45.

In the construction sector, Spanish builder Ferrovial was 5.1 percent higher to €72.40 on the announcement that its toll roads unit had acquired a road in Chile.

Declines in the oil and automobile manufacturing sectors sent the FTSE Eurofirst 300 0.3 percent lower on Monday to 1,445.8. Carmakers were lower on profit taking, while oil stocks dropped on falling crude oil prices.

In the automobile manufacturing sector, BMW dropped 1.2 percent to €44.64 and Fiat declined 1.3 percent to €13.68. Peugeot was 1.5 percent lower to €44.33 after it cut full-year estimates after reports showed sales down in the first nine months of the year. Volkswagen fell 1.7 percent to €77.40 on mixed reviews from brokers. West LB reduced its recommendation from “hold” to “reduce”, but Goldman Sachs, UBS, and Deutsche Bank all raised VW’s target share price.

Declining oil prices sent Spanish company Cepsa down 1.3 percent to €60.90. Statoil was 2.2 percent lower to NKr165.25 even though it exceeded expectations in its third quarter report on previously high prices for crude. Neste Oil dropped 2.3 percent to €24.81, while Norsk Hydro’s lower than anticipated report on third-quarter profit sent its shares 2.8 percent lower to NKr148.75.

Elsewhere, banks were also lower on the session. Erste Bank of Austria did better than the rest of the sector, losing only 0.2 percent to €53.80 on a report of net profits up by 16 percent in the third quarter, which was just lower than had been expected. Trading income was down by 22 percent. ABN Amro also dropped 0.2 percent, to €22.95, after it said its net profit dropped by 5.6 percent in the quarter. Raiffeisen International dropped 0.7 percent to €89.60.

The FTSE Eurofirst 300 was up 0.2 percent over the week to 1,448.46 for its fifth week in a row of positive movement.

The automobile manufacturing sector was up on pleasing quarterly reports. Fiat added 0.3 percent over the week to €13.86, while Renault gained 1.3 percent to €90.90 and DaimlerChrysler was 4.5 percent higher to €43.27.

In a related sector, tire makers saw mixed results. While Michelin added 4 percent over the week to €64 on a quarterly report that was about where analysts expected it to be, Continental dropped 5 percent to €87.49 on negative comments from both Goldman Sachs and Deutsche Bank.

The pharmaceuticals sector was lower. Sanofi-Aventis was 2.2 percent lower for the week to €68.65 and Novo Nordisk declined 4 percent to DKr455. The sector was hurt by the announcement from AstraZeneca in the UK that trials of a new drug to treat stroke patients had not been successful.

On the other hand, the telecommunications sector saw gains during the week on quarterly results and bids rumors. The biggest winner was Telenor, which added 13.2 percent this week to NKr103 after its quarterly results brought positive comments and target share price increases from a number of brokers. France Telecom also did very well, gaining 8.8 percent to €20.56 as its third-quarter report earned it target share price increases from UBS and Citigroup.

There were gains elsewhere in the sector, with OTE of Greece being the exception. OTE dropped 0.2 percent to €19.80 on rumors that Telekom Austria could be looking to buy a share of the Greek telecom. Telekom Austria added 0.1 percent to €20.01. Telefonica gained 5.5 percent to €15.06 and Deutsche Telekom was 6 percent higher to €13.52.

Despite gains in the telecommunications sector, the FTSE Eurofirst 300 was lower on Thursday, dropping 0.2 percent to 1,452.33.

Telefonica added 1.6 percent to €14.85, while Deutsche Telekom gained 2.1 percent to €13.22 and Cosmote of Greece was 2.6 percent higher to €18.98. France Telecom was up 3.6 percent to €20.10 on a gain of 3.5 percent in underlying profits thanks to income from foreign purchases. FT was also helped by positive comments from Bear Stearns. Norwegian telecom Telenor added 7 percent to NKr96.60 on its third-quarter earnings report, which was better than had been anticipated and elicited glowing remarks from both Citigroup and Bear Stearns.

ThyssenKrupp added 2.8 percent to €30.82 on rumors that US steel maker Nucor could be ready to make a bid for the German company.

The pharmaceuticals sector was also lower, with Sanofi-Aventis dropping 0.6 percent to €69.70 on the news from Bristol-Myers Squibb reported earnings down in the third quarter. Sales of the blood-thinner Plavix, which Sanofi-Aventis and Bristol-Myers Squibb partner in, were hurt by generic drugs that serve the same purpose. Also not helping the sector was the 7 percent decline on the day by AstraZeneca in the UK after the failure of trials for an experimental stroke drug.

Tiremakers were mixed on the session, with Michelin up 0.6 percent to €63.45 on positive comments from Deutsche Bank. Meanwhile, Continental dropped 3.9 percent to €88.50 on a reduction of its earnings-per-share estimate from Morgan Stanley.

The FTSE Eurofirst 300 saw gains on Wednesday on advances in the automobile manufacturing sector. The Eurofirst added 0.3 percent to close the session at 1,454.74.

DaimlerChrysler led the way among carmakers with a gain of 4.2 percent to €43.23 on better than anticipated profits in the third quarter. While profits were down by almost 37 percent from the same quarter last year, the carmaker did report a net profit against an expectation of losses in the period. This report, plus a better than expected report from US car manufacturer General Motors, helped send Porsche 2.4 percent higher to €925.10, while Fiat and Renault each added 2.6 percent, to €14.08 and €93.25 respectively. Fiat reported huge growth in earnings in the quarter.

In an associated sector, tire makers were mixed on the session. Continental was 0.4 percent lower to €92.10 after Goldman Sachs issued negative comments. On the other hand, Michelin added 2.8 percent to €63.10 on a report showing that sales were up 4.9 percent in the quarter, about what had been expected. Michelin also announced price hikes and a plan for cutting costs. Credit Suisse reiterated its “under perform” recommendation, but UBS was more positive about the French tire manufacturer.

The semiconductors sector was lower, with STMicroelectronics down 1 percent to €13.17 even though its profits were up by 133 percent in the third quarter. Some analysts, however, expect that STM will not perform as well as the rest of the sector as 2007 begins. Infineon, meanwhile, dropped 1.8 percent to €9.54.

In Europe on Tuesday, the FTSE Eurofirst 300 ended slightly lower, down 0.1 percent to 1,449.5

Banks were mixed on the session, with Erste Bank 1.6 percent higher to €54.15 on an upgrade to “buy” from Merrill Lynch, while Raiffeisen added 2.4 percent to €89 and Allied Irish Banks gained 2.8 percent to €21.25. Swedish banks, however, were lower on the session. SEB dropped 1 percent to SKr206, Swedbank was 1.7 percent lower to SKr225.50, and Handelsbanken fell 4.5 percent to SKr192 on third quarter results that saw both operating profits and gross income failing to meet predictions.

Oil companies were mixed as well. Statoil was 1.1 percent higher to NKr167.75 on the announcement that its Snorre oilfield, closed due to a safety problem concerning lifeboats, is being brought back online. Neste Oil added 4.5 percent to €24.35 after declines on Monday on a downgrade from Morgan Stanley. Norsk Hydro, however, dropped 0.5 percent to NKr150.75 after it said that operating profits were up 18 percent in the third quarter, less than had been anticipated.

In the construction sector, Spanish builder Metrovacesa dropped 8.1 percent to €115.70 on remarks from the government stock market regulator that its listing on the Ibex index should be examined.

Alcatel, the French telecommunications equipment maker, added 7.2 percent to €10.29. While net profits were down 42 percent in the quarter, mostly due to one-time gains during the third quarter last year, profits for US telecom Lucent, which Alcatel is purchasing, posted results that were better than had been predicted.

The FTSE Eurofirst 300 added 0.4 percent to 1,450.5 on Monday’s session as financial sectors saw gains that helped balance out losses in the oil sector.

The banking sector was helped by expectations of good earnings reports as well as by continuing bids rumors. Italian bank UniCredit was 0.8 percent higher to €6.62 and Hypovereinsbank added 1.9 percent to €36.63 on the news that Polish legislators voted on Friday to approve a merger between the two banks. Elsewhere in the sector, Raiffeisen International gained 1.1 percent to €86.95 and Danske Bank was 2 percent higher to DKr246 ahead of next week’s quarterly report. Natexis Banques Populaire gained 3.2 percent to €225.20 on speculation about an upcoming merger.

Airlines did well as oil prices continued to decline. Ryanair was 1.3 percent higher to €8.82, while Air France-KLM gained 2.1 percent to €26.35 and Lufthansa added 2.4 percent to €17.31. The sector was also helped by a 2.9 percent gain in the UK by British Airways on an upgrade from Citigroup.

Dropping oil prices did now, however, give any comfort to the oil sector. Repsol and Royal Dutch Shell each dropped 0.8 percent, to €25.83 and €27.03 respectively. Italian refiner Saras was 1.9 percent lower to €4.06 on a lower target share price from Morgan Stanley, which handed out target downgrades to other companies in the sector as well.

OMV fell 2 percent to €41.25, while Statoil was 2.6 percent lower to NKr166 even though Banc of America upgraded the Norwegian company. In the Greek portion of the sector, Hellenic Petroleum dropped 2.6 percent to €9.84, again on a Morgan Stanley downgrade. Morgan Stanley also reduced Neste Oil’s recommendation, from “overweight” to “equal weight”, sending the Finnish refiner 3 percent lower to €23.30. Norsk Hydro saw the biggest loss in the sector, dropping 4.1 percent to NKr151.50.

The FTSE Eurofirst 300 ended the week at 1,445.39 on Friday, adding 0.3 percent for the session and brining its gains since the beginning of the year to 13 percent. The day’s close was its highest since early June 2001.

Several sectors saw gains over the week. The forestry and paper sector did very well. UPM Kymmene was 6 percent higher to €19.9, while Stora Enso added 8.2 percent to €12.73 and M-Real of Finland gained 17.2 percent to €4.83 on the introduction of a restructuring plan.

Safran, the French manufacturer of jet engines, added 7.3 percent over the week to €16.84 on rumors of a merger with defense company Thales.

Spanish property group Metrovacesa was the big gainer of the week as it was up 18.4 percent to €125.1. It is now 70.2 percent higher than it was at the beginning of September on the strength of bids rumors.

Among losers this week, Nokia dropped 4.2 percent to €15.4 on disappointing quarterly results and lower prices for its phones. Software maker SAP fell 4.9 percent to €156.85, also on its quarterly report. In the semiconductors sector, ASML was 6.9 percent lower to €17.9, while Akzo Nobel was down 10.5 percent on its quarterly report and on the delay of its new anti-schizophrenia drug.

In Europe on Thursday, the FTSE Eurofirst 300 dropped 0.32 percent to 1,441.16 as quarterly reports continue to emerge from various sectors.

Food groups were lower on the session. Nestle said that it saw sales grow by 9.1 percent in the first nine months of the year, which was about what analysts expected, but investors were unhappy with that result, which was lower than the 9 percent sales growth reported by Danone earlier in the week. Danone was 1.6 percent lower to €115, while Nestle dropped 2.5 percent to SFr427.

In the semiconductors sector, declines in the US sent Infineon 2.2 percent lower to €9.85. In another computer-related sector, German software group SAP was hurt by the announcement that it would likely not meet estimates for the full year. Even though it reported that sales were up by 17 percent in the third quarter, SAP dropped 3.1 percent on the session to €159.45. Even though its outlook was disappointing, both Dresdner Kleinwort and WestLB maintained their recommendations of “buy” and “hold”, respectively on the software maker.

In the telecommunications sector, Nokia was 3.6 percent lower to €15.36. While the Finnish phone maker’s sales were up during the third quarter, its earnings were lower than had been forecast. Elsewhere in the sector, Ericsson added 1.7 percent to SKr27.05 as its joint venture with Sony helped group profits rise.

Other gainers on the session included tire maker Michelin, which added 3.3 percent to €61.65 on an increased targets share price from Dresdner Kleinwort. In addition, Swiss pharmaceuticals company Novartis was 2.2 percent higher to SFr75.45 on net profits that were 12 percent higher in the third quarter.

After seeing losses on Tuesday, the FTSE Eurofirst 100 added 0.9 percent on Wednesday to 1,441.48 on several bits of positive news.

Automobile manufacturer Fiat was 5.7 percent higher to €13.53 on rumors that it wants to sell its truck making division. It didn’t hurt that JPMorgan issued positive comments, saying that Fiat stands to double operating profits in the third quarter.

French jet engine manufacturer Safran also gained 5.7 percent, to €16.87, on rumors that there is a merger in the works between it and defense electronics company Thales. Thales added 1.7 percent to €36.58 on the speculation.

The forestry and paper sector saw gains when M-Real of Finland announced a major restructuring, saying that it will cut costs and cut capacity. It also announced the appointment of a new chief executive. M-Real added 14.9 on the news to €4.78. Among others in the sector, UPM Kymmene was 3.8 percent higher to €19.50, while Stora Enso advanced 5.3 percent to €12.61.

ASML, which makes semiconductor manufacturing equipment, dropped 6.6 percent to €17.75 as not all analysts were enthusiastic about its third-quarter report. ABN Amro dropped its recommendation from “hold” to “sell”, while Dresdner Kleinwort reaffirmed its “sell” recommendation. Both cited slowing orders as the cause for their disappointment. Deutsche Bank, however, reiterated its “buy” rating on ASML.

Dutch pharmaceuticals group Akzo Nobel also saw declines, falling 8.9 percent to €43.35 after it said it would delay the release of asenapine, it’s new anti-schizophrenia drug and released third-quarter results that were not up to analyst predictions.