The FTSE Eurofirst 300 dropped 5.1 percent during the week and was down 1.4 percent on the year when it closed at 1,463.3 on Friday.

Banks were lower, with those exposed Turkey and Eastern European markets doing the worst. EFG Eurobank (ASE: EFG) dropped 8.4 percent to €27.20 after it agreed this week to purchase 70 percent of Tefkenbank of Turkey. Raiffeisen International (WBAG: RIBH) fell 9.2 percent to €102.25; the Austrian bank owns assets in Central and Eastern Europe. National Bank of Greece (LSE: NBGA; NYSE: NBG), owner of Finansbank of Turkey, was 9.5 percent lower to €38, while Alpha Bank (OTC: ALBKY) fell 12.5 percent to €21.88 even though it reported that profits were up by 24.6 percent in 2006.

Software maker SAP (FWB: SAP; NYSE: SAP) added 1.4 percent during the week to €35.34 after bids rumors and a reiterated “buy” rating from Deutsche Bank (NYSE: DB).

In the automobile manufacturing sector, Volkswagen (OTC: VLKAY) and Porsche (FWB: POR3) were both lower, even though VW reported good results from its Audi division. VW dropped 1.8 percent on the week to €93.22, while Porsche fell 6.7 percent to €968.21.

Moller Maersk, the Danish shipper which has exposure to Russia and China, saw its B shares drop 7.2 percent lower this week to DKr58,200.

The FTSE Eurofirst 300 was 0.9 percent lower on Thursday to 1,469.02 after going as high as 1,495.16 during the day. The declines came as most global markets were down for a third day in a row. The CAC 40 in Paris dropped 1.1 percent, as did the Xetra Dax in Frankfurt, to 5,458.40 and 6,640.24 respectively. Meanwhile, the RTS in Moscow dropped another 5.72 percent to 1,797.10.

Banks were mixed on the day. Alpha Bank (OTC: ALBKY) dropped 5.6 percent to €22 on a lowered target share price from Credit Suisse, which nonetheless reiterated its “outperform” rating on the Greek bank even though it found Alpha’s fourth-quarter report lacking. On the other hand, Erste Bank (WBAG: EBS; OTC EBKDY) added 0.6 percent to €56.50 on results that were better than had been anticipated. Swedbank (Stockholm Stock Exchange: SWED A) added 3.5 percent to SKr249 after losses the past two session.

In the telecommunications sector, Deutsche Telekom (NSYE: DT; LSE: DEU; TYO: 9496) dropped 3.8 percent to €13.04 on full-year net profits that were down by 43 percent. The German telecom also revised downward its core earnings prediction for 2007.

Software group SAP (FWB: SAP; NYSE: SAP) added 3.8 percent to €36.13 on rumors that private equity is interested in acquiring a major stake in the Germany company. Additionally, rumors continued to circulate that the software maker would mount a share buy-back. The company refused to comment.

The FTSE Eurofirst 300 was lower in Monday, closing at 1533.15, a decline of 0.6 percent.

The Greek banking sector saw declines after a new report showed that use of household credit grew substantially in November, causing some investors to worry that with Eurozone interest rates rising loan defaults could reach worrisome levels. Alpha Bank dropped 1.2 percent to €24.02, while National Bank of Greece fell 1.3 percent to €38.60. EFG Eurobank was 2 percent lower to €29.10 and Bank of Piraeus was down 2.2 percent to €26.40.

Stock exchanges were lower after it was announced that stockholders in the London Stock Exchange had rejected US exchange operator Nasdaq’s bid for the company. Deutsche Borse dropped 2.2 percent to €157.45. Euronext, still in the process of closing a merger with NYSE Group, fell 4.2 percent to €85.95.

In the oil sector, a decline of 2 percent in the price of crude oil sent shares lower. Statoil was 0.6 percent lower to NKr162.25, hurt not only by lower prices but by a fourth quarter report that did not rise to expected levels. French oil company Total was down 1.2 percent to €52.10. Neste Oil dropped 2.9 percent to €23.70.

The semiconductors sector was mixed. STMicroelectronics dropped 1.4 percent to €14.53, but Infineon added 1.3 percent to €12.15 after last week’s announcement of new contracts and on new reports that private equity could be interested in bidding. Meanwhile, chip-making equipment manufacturer ASML dropped 2.7 percent to €19.16.

The FTSE Eurofirst 300 added 0.1 percent Wednesday to close at 1,502.83 as a strong opening in New York helped overcome earlier declines due to profit taking.

The mining and oil sectors were mixed as base metals prices dropped and broker sentiment on oil was negative. Norsk Hydro, which has aluminium as well as oil interests, dropped 3.2 percent to NKr188.50. Meanwhile, Merrill Lynch reduced its rating on the oil sector as a whole to “underweight” on the basis of falling refining margins. Italian refiner Saras fell 0.8 percent to €4.05, while Neste Oil was 1.8 percent lower to €22.71. On the other hand, Hellenic Petroleum added 5.2 percent to €11.10 after a consortium it participates in found natural gas in Libya.

Steelmakers were hurt by a sector downgrade from Credit Suisse, which reduced its recommendation from “market weight” to “underweight”. ThyssenKrupp dropped 2 percent to €35.96, while Salzgitter fell 2.3 percent to €99.31 and Mittal Steel was 4 percent lower to €31.55.

The banking sector was higher on the session. UBS added 2.5 percent to SFr75.90. Greek banks Alpha Bank and EFG Eurobank both saw gains as well, with Alpha up 2.6 percent to €23.90 and EFG 2.9 percent higher to €28.70.

The FTSE Eurofirst 300 was higher on Monday, ending the session 0.3 percent higher to 1,466.91.

The car and truck making sector did not have as good a day. Porsche and Volkswagen were both lower on indications that Porsche does not intend to attempt a complete takeover of VW, as had been rumored last week. VW dropped 0.1 percent to €80.71, while Porsche was 1.3 percent lower to €889. French carmakers Renault and Peugeot each fell 0.8 percent on the session, to €95.40 and €48.46 respectively. DaimlerChrysler bucked the trend in the sector and added 0.2 percent to €47.26 on upgrades from HVB and Deutsche Bank.

In the insurance sector, reinsures were up. Hannover Re added 0.2 percent to €33.08 and Munich Re gained 1.1 percent to €125.67. Swiss Re was 3.1 percent higher to SFr106.3 on the lowest number of claims made in ten years and healthy premium payments which generated high reserves.

Among stock exchanges, Deutsche Borse gained 2.5 percent to €126.00 on consolidation hopes after Nasdaq offered for the London Stock Exchange.

Aerospace and defense company Thales dropped 1.2 percent to €37.22 even though UBS upped its target share price from €35 to €39 but left its recommendation at “neutral”.

Credit Suisse added 0.2 percent to SFr80.80 even though UBS downgraded the investment bank from “add” to “hold”. Meanwhile, Greek banks were lower on the session due to their exposure to the Turkish banking sector. The declines came after the European Union turned up the pressure on Turkey to resolve its differences with Cyprus ahead of an entrance of Turkey into the EU. National Bank of Greece dropped 1 percent to €36.60, while Alpha Bank was 1.5 percent lower to €23.70 and EFG Eurobank fell 1.8 percent to €28.20.

Banks were mixed on Monday in Europe as mergers and acquisition talk carried over from last week. Meanwhile, gains in technology stocks helped lead the FTSE Eurofirst 300 up by 0.4 percent to 1,364.89. Oil companies were down as crude oil prices fell again.

European oil companies were lower after crude oil prices fell on a reduced chance that there would be any damage to oil interests in the Gulf of Mexico from the current storm in the region. Norsk Hydro was 0.9 percent lower to NKr167, while Statoil dropped 1.1 percent to NKr174.

In the semiconductors sector, STMicroelectronics added 1.4 percent to €12.70. Infineon gained 2 percent to €9.03.

Banca Intesa and Sanpaolo IMI were down slightly after last week’s gains on the strength of a proposed merger as shareholders began to have doubts about the deal worked out by the boards of the two banks in a Saturday meeting. Sanpaolo was 1.4 percent lower to €15.87, while Intesa dropped 1.6 percent to €4.99.

Spanish bank Santander, which owns 8.4 percent of Sanpaolo, added 0.7 percent to €12.08. Meanwhile, it was said that Credit Agricole, which owns almost 18 percent of Intesa, was trying to set terms for the deal, especially surrounding the issue of branches to be sold after any merger. Agricole added 1 percent to €32.75.

Elsewhere in the banking sector, Deutsche Postbank was 3.1 percent higher to €62.01 after it was said that Deutsche Post was ready to sell its 50.1 percent holding. On speculation that Deutsche Bank might be interesting in buying, Deutsche Bank added 0.4 percent to €89.02. Deutsche Post gained 2.5 percent to €19.57 on the speculation.

Greek banks, however, were down on the day after a terrorist attack at a Turkish coastal resort. A number of Greek banks have holdings in Turkish banks. EFG Eurobank, which owns EFG Istanbul Securities, and Alpha Bank each dropped 1.2 percent to €23.98 and €20.86 respectively. National Bank of Greece, which finalized its purchase of Finansbank of Turkey just last week, declined by 1.8 percent to €30.50.

European equities markets were lower on Monday on fears that interest rates in the region could go up more than previously expected. The FTSE Eurofirst 300 dropped 0.3 percent to 1,278.91.

The banking sector was mixed on the day. Credit Agricole said that it would not raise its bid for Greek bank Emporiki even though the Bank of Cyprus was reported to have submitted a higher offer than Agricole’s. Agricole dropped 0.4 percent to €28.30 and Alpha Bank, also thought to be interested in bidding for Emporiki, was down 1.1 percent to €18.80. Meanwhile, Bank of Cyprus added 1.6 percent to €7.34. Emporiki remained even at €27.48.

Elsewhere among banks, Piraeus Bank gained 3.5 percent to €18.66 after it became known that it had increased its stake in Bank of Cyprus from 5.99 percent to 6.4 percent and rumors began to circulate that Piraeus was thinking about bidding for Bank of Cyprus. EFG Eurobank dropped 1.7 percent to €21.10, while National Bank of Greece ended down 1.8 percent to €28.08.

In the steel sector, Arcelor was up 7.9 percent to €37.80 and Mittal Steel dropped 3.7 percent to €24.38 after Arcelor agreed to a new offer from Mittal which was 43 percent higher than its January bid. The newly formed company will have to divest itself of some holdings to satisfy regulatory rules. Salzgitter, which is known to be interested in Arcelor’s European holdings, added 1.9 to €63.25. On the other hand, ThyssenKrupp dropped 2.6 percent to €25.13 on concerns that its deal with Mittal to purchase US company Dofasco could be abandoned due to opposition from Arcelor.

EADS added 3.3 percent to €22.75 after the French government conceded that the aerospace firm’s governance structure should be set by its industrial partners, DaimlerChrysler and Lagardere. The French had previously asked for more influence over the company after EADS said that deliveries of its new A380 super jumbo jet will be delayed.

The FTSE Eurofirst 300 was up on Wednesday, but by only 0.3 points to 1,276.47 after being in negative territory for most of the session.

The banking sector was mixed. Deutsche Bank added 0.6 percent to €84.61 when it said that it had prevailed in a bidding war for Berliner Bank and will buy it for €681 billion. The Bank of Cyprus lost 7.6 percent to €3.99 when it announced that it will enter the bidding war for Greek bank Emporiki. The loss came as investors wondered how Bank of Cyprus will fund its offer, which must exceed Credit Agricole’s all cash bid of €3.1 billion. Emporiki dropped 0.4 percent to €27.20. Alpha Bank, also said to be thinking about bidding for Emporiki, lost 3.5 percent to €19.24. Meanwhile, the National Bank of Greece was down 3.9 percent to €27.10 on the aftereffects of a €3 billion cash call to fund its purchase of Finansbank of Turkey.

Aerospace group EADS was down 2.5 percent on the day to €20.92 when the prime minister of France said that the state wishes to exert more control over the company in the wake of announced delays in delivery of its new A380 superjumbo jet.

The automobile manufacturing sector saw losses over the day after declines by US companies Ford and General Motors. Peugeot fell 2.3 percent to €48.25 on comments from Oddo Securities that the carmaker could miss its first-half target for an operating profit margin of 2.8 percent. Volkswagen and Renault also saw declines, as VW lost 1.9 percent to €52.68 and Renault dropped 1.2 percent to €84.65.

In Europe on Thursday, the FTSE Eurofirst 300 ended the day in positive territory on a late rally. Investors seemed to discount inflation and interest rate worries even though the minutes of the most recent meeting of the US Federal Reserve, released during the day, were taken to mean that US interest rates are likely to rise again when the Fed meets later in the month.

The telecommunications sector was mixed on the day, although there were more gainers than losers. TeliaSonera dropped 4.3 percent to SKr45.80 after it admitted that its chief executive and another company official had been charged with bribery in relation to a product-launch event. Elsewhere in the sector, Dresden Kleinwort Wasserstein suggested that its clients investing in telecoms to leave Telefonica in favor of Telecom Italia. Telefonica still added 0.1 percent to €12.78 and Telecom Italia was up 1.4 percent to €2.215. Belgacom gained 3.4 percent to €25.43 on a target share price increase from €29 to €29.90 from Bear Stearns, which also reconfirmed its “outperform” rating on the company’s shares. France Telecom advanced by 0.7 percent to €17.58.

Banks were also mixed on the day. National Bank of Greece lost 5.8 percent to €31.88 after shareholders gave their approval to a rights issue intended to raise the funds to purchase a stake in Finansbank of Turkey. Another Greek bank, Alpha Bank, also saw declines on the day as it dropped 2.9 percent to €18.96. EFG Eurobank, however, added 0.1 percent to €22.06. Elsewhere, the Bank of Ireland added 5 percent to €14.15 when Lehman Brothers upped its targets share price for the bank from €13.80 to €15.17.

Utilities saw declines after several energy suppliers were raided in an investigation into anti-competitive practices. Eon, one of those utilities targeted in the raids, dropped 0.1 percent to €89.87. Also in Germany, RWE dropped 1.2 percent to €65.85. Gaz de France also declined, by 0.6 percent to €27.16.

The FTSE Eurofirst 300 saw gains on Tuesday after Monday’s substantial losses, with a rise of 2.4 percent to 1,302.02. The gains came as investors looked for good buys and commodity prices turned upward again.

In the oil sector, including oil companies and companies that service oilfield operations, gains were substantial. Statoil led the way among oil companies, adding 9.8 percent to NKr180. Norsk Hydro gained 8.8 percent to NKr167.50. Neste Oil was up 7.7 percent to €24.35, while OMV advanced by 7.5 percent to €42.99.

Among companies that service the oil industry, toolmaker Atlas Copco was up 11.5 percent on the day to SKr203.50. Its peer Sandvik saw a gain of 8.1 percent to SKr439.50. Italian company Saipem matched Atlas Copco’s 11.5 percent gain to close at €17.782, while Dutch company SBM Offshore, which builds oil production and storage platforms, added 6.9 percent to €81.60.

Banks with exposure to the emerging markets of Eastern Europe, which saw substantial declines earlier, were up significantly on the day. Raiffeisen was up 10.8 percent to €65.40, while Eurobank gained 7.7 percent to €22.84 and Alpha Bank advanced by 2.3 percent to €20.06.

Stock exchange Euronext was up 3.6 percent to €70 after it accepted an offer from the New York Stock Exchange, rejecting the offer from Deutsche Borse. Euronext said that it believed the NYSE offer was in the best interest of shareholders and that regulatory approval for the merger with the NYSE would go more smoothly than an attempt to merge with Deutsche Borse. The news did not hurt Deutsche Borse, which added 1.4 percent to €102.76.