With an automobile manufacturing sector that fared well early in the week but saw declines later and crude oil prices that fell dramatically at the end of the week, the FTSE Eurofirst 300 was down 0.1 percent over the week to 1,462.05.

The oil sector was down on both the day Friday and over the week as a whole. The worst performers were Statoil, which fell 4.8 percent on Friday and 3.3 percent during the week to NKr167.75 and Norsk Hydro, with declines of 5 percent on the day and 3.8 percent on the week to NKr152.

Car and truck makers were mixed on the week. Volkswagen was up and Porsche declined on rumors that Porsche is getting ready to bid for VW. Porsche, which already owns 27.4 percent of VW, said it wants to increase its holding to 29.9 percent; if it acquires 30 percent, it will be forced to submit a bid. VW added 3.9 percent to €83.09 during the week, while Porsche was 1.6 percent lower to €900.

VW, with large stakes in both MAN and Scania, is also a major player in the efforts of German truck maker MAN to acquire Swedish rival Scania. VW favors the merger while Investor, Scania’s other major shareholder, and Scania’s unionized workers, are against the merger. With rumors circulating this week that Scania is preparing a counter bid, MAN added 2.9 percent over the week to €73, while Scania’s B shares were 2.6 percent lower to SKr475. Investor ended the week at SKr155.50.

The semiconductors sector was higher on the week on strong quarterly reports and ahead of the release of a new iteration of Microsoft’s Windows. STMicroelectronics was up 3.5 percent to €14.11, while Infineon added 5.2 percent to €9.78 and ASML gained 6.5 percent to €19.30.

The European equities markets were lower on the session Wednesday as investors worried about what effect the new Democratic majority in the House of Representatives in the United States would have on business. The FTSE Eurofirst 300 dropped 0.7 percent to 1,469.90. Elsewhere, the Xetra Dax in Germany was 0.2 percent lower to 6,318.43, London’s FTSE 100 fell 0.1 percent to 6,208.1, and the CAC 40 was even in Paris.

The MAN/Scania takeover story was in the news again after it seemed less likely that MAN’s attempt to purchase Scania would be successful. Part of this feeling was due to the fact that on Tuesday Investor, one of Scania’s largest shareholders, had increased its voting share in the Swedish truck-maker to 20 percent. Another factor might be the sudden resignation of Volkswagen’s chief executive. Volkswagen is also a major shareholder in Scania.

Scania’s A shares, with most of its voting rights, dropped 2.1 percent to SKr507, while its B shares fell 2.4 percent to SKr482. Investor was 0.9 percent lower to SKr162.50, while Volkswagen dropped 1.5 percent to €80. Only MAN saw gains, adding 0.2 percent to €73.

Aerospace company EADS added 3.2 percent to €21.33 on sales that were 14 percent higher in the third-quarter even though delays in the delivery of its A380 super jumbo jet have brought cancellations of some orders for the new aircraft.

The FTSE Eurofirst 300 reached yet another in its continuing series of closing highs on Monday, adding 0.2 percent to 1,443.50.

The oil sector was instrumental in the gains as Repsol YPF added 4.6 percent to €27.35 on rumors that Spanish builder Sacyr Vallehermoso is looking to acquire 3 percent of the company. Sacyr added 1.7 percent to €41.22 on the talk even though Deutsche Bank issued a downgrade from “hold” to “sell”. Other oil companies were also higher, with OMV up 1.4 percent to €42.29 and Statoil 3.6 percent higher to NKr166.75.

The Italian banking sector was mixed as Banca Popolare Italiana and Banca Popolare di Verona e Novara agreed to a merger deal worth €8.2 billion, which will create the third-largest retail bank in Italy. BPI added 3.6 percent on the news, to €10.76, but Verona was 7.5 percent lower to €21.09.

In the ongoing saga of the proposed MAN/Scania merger, meanwhile, MAN was down 2.6 percent and Investor - Scania’s second-largest shareolder - was flat at SKr159.50, while Volkswagen added 0.1 percent to €70.30 and Scania B shares were 0.9 percent higher to SKr485.50. Over the weekend VW again signaled support for the deal.

European supermarkets saw losses on the session. Delhaize was 0.9 percent lower to €63.50 and Ahold dropped 1.7 percent to €8.13 on reports that the two had abandoned merger talks, but neither company would comment on the speculation.

Philips Electronics declined 1.1 percent to €27.61 due to third quarter core profits that were not up to expected levels. West LB reiterated its “buy” recommendation, saying that it believes that shares in Philips are undervalued.

The FTSE Eurofirst 300 was higher on Thursday as the MAN/Scania saga again raised share prices for all the companies involved in the story. The 300 added 0.8 percent to 1,436.34, yet another five-year high closing level.

MAN said it would again increase its offer for Scania from SKr442 to SKr475 per share and also announced that it has purchased 14 percent of Scania’s voting rights. Scania, backed by Investor, which owns 19 percent of Scania’s voting rights, rejected the new offer. Meanwhile, Scania revealed that its pre-tax earnings over the past nine months have gone up by 31 percent, while revenues are up almost 15 percent during that period. Volkswagen, which owns 34 percent of Scania’s voting rights and recently purchased 15 percent of MAN, continues to try to convince MAN and Scania to join it in a three-way deal.

All of this sent Scania’s A shares, those shares with voting rights, 10.1 percent higher to SKr490. Scania’s B shares added even more, gaining 11.1 percent to SKr476. MAN was 3.7 percent higher to €69.81, while Investor gained 2.2 percent to SKr162.50 and VW was up 0.4 percent to €70.24. Meanwhile Volvo, a domestic rival to Scania, added 2.7 percent to SKr458.50.

In the aerospace sector, EADS was 1.7 percent higher to €21.37 after the French and German governments said that they continue to support Airbus despite the airplane manufacturing unit’s continuing delay problems. German chancellor Angela Merkel added that her government was thinking about purchasing a stake in EADS.

The banking sector was higher on the session. Among Greek banks, EFG Eurobank gained 2.7 percent to €26.40, while National Bank of Greece added 3.8 percent to €34.74 on broker upgrades. In the French banking sector, Societe Generale was 4.2 percent higher to €135.10 on bids rumors.

European equities markets seemed little bothered Monday by North Korea’s announcement that it had tested a nuclear device. The FTSE Eurofirst 300 added 0.2 percent to 1,414.38.

Part of the gains on the day came from advances in the oil and mining sectors as prices for crude oil and metals were up after the North Korean news. In the UK, the mining sector added 3.3 percent as a whole. Among European oil companies, Total advanced 1.2 percent to €51.90, while Neste Oil was 1.9 percent higher to €22.60 and OMV added 3.1 percent to €39.28.

The MAN/Scania story continued to unfold. MAN said that it was thinking about discontinuing its hostile bid for Scania in favor of talks between those two companies and Scania’s largest shareholder, Volkswagen, after VW bought 15 percent of MAN last week. MAN added 0.9 percent to €68.45 on its announcement. Meanwhile, VW dropped 0.4 percent to €69.31, Investor B shares fell 2.2 percent to SKr154.50 and Scania B shares fell 4.4 percent to SKr443. Scania B shares were suspended from trade for a time during the session.

Elsewhere in the automobile manufacturing sector, Renault dropped 0.2 percent to €89.95 after GM shareholder Kirk Kerkorian said he would not buy any more GM stock, signaling an end to the possibility that Renault, Nissan, and GM might form some sort of cooperative relationship. Kerkorian had been an advocate of such a deal. Peugeot, meanwhile, fell 0.6 percent to €42.92 on a downgrade and lowered target share price from Morgan Stanley. The broker reduced its reccomendation on the carmaker from “overweight” to equal-weight” and dropped its target from €53 to €41.

In the telecommunications sector, TeliaSonera added 2.3 percent to SKr49.20 on the news that investment fund Cevian Capital had bought 72 million shares in the telecom, an acquisition that gives the fund a 1.6 percent stake in the company, making it TeliaSonera’s fourth-largest shareholder.

The FTSE Eurofirst 300 was 0.7 percent higher on Tuesday to close at 1,402.38, its highest finish since early May.

The MAN/Scania story continued to unfold. Volkswagen added 1.3 percent to €68.85 after it announced that it had purchased 15.06 percent of MAN. VW said that it was a “strategic” acquisition but that it has no intention to take over the truck manufacturer, which made a bid for Swedish truck maker Scania last month. Scania, meanwhile, said that VW’s purchase put the proposed deal in a new light, but did not elaborate, while Investor, which also owns part of Scania, said it knew that VW had planned to purchase shares in MAN. The news sent Investor B shares 2 percent higher to SKr155 and Scania B shares were up 5.2 percent to SKr462. MAN, however, dropped 7.5 percent to €68.44.

Banks were higher as there were rumors of consolidation within the sector, spurred by French reports that Citigroup was looking at several European banks for possible takeover bids. BNP Paribas, which added 2.3 percent to €86, was mentioned as one of the potential targets. Other possible targets named were Societe Generale and Banco Bilbao Vizcaya Argentaria, which each added 2.4 percent to €125.90 and €18.50 respectively. Citibank had no comment on the rumors.

In the aerospace sector, EADS ended the session 4.2 percent lower to €21.71, and was down as much as 13 percent earlier in the day, after it announced yet another delay before it will be able to deliver its new A380 superjumbo jet. The airplane manufacturer also issued a profit warning. The news triggered a downgrade from Credit Suisse from “neutral” to “under perform”, while UBS lowered its recommendation from “buy” to “neutral”. Both brokers also lowered their target share prices on EADS.

With the European oil sector declining again on Tuesday due to sharp drops in crude oil prices, the FTSE Eurofirst 300 was 0.2 percent lower to 1,392.86.

In the oil sector, Total was down 1.4 percent to €50.85 and Repsol YPF dropped 1.8 percent to €23.30. Statoil fell 2.8 percent to NKr149, while Norsk Hydro declined 3.1 percent to NKr 139.25 and Neste Oil was 5.1 percent lower to €21.99.

The automobile manufacturing sector saw declines on broker downgrades. Peugeot fell 0.7 percent to €43.72 and went as low as €42.79 earlier in the session after UBS dropped the carmaker’s rating from “neutral” to “reduce” and cut its target share price from €40 to €38. Meanwhile, Renault was 3.5 percent lower to €88.60 on a downgrade from “outperform” to “neutral” by Credit Suisse, which cited a drop in sales in the third quarter.

The MAN/Scania story took another direction amid rumors that Scania and Volkswagen are thinking of jointly bidding for MAN. MAN said it has not received an offer and none of the other players - Scania and its largest shareholders, Volkswagen and Investor - were willing to comment. Investor B shares dropped 1.3 percent to SKr152, but Scania B shares added 0.6 percent to SKr439, Bolkswagen gained 1.5 percent to €67.98 and MAN was 5.7 percent higher to €74.

The FTSE Eurofirst 300 was 1.4 percent higher on Tuesday to 1,389.25, its highest close in over four months. Mergers and acquisitions again furnished most of the action, joined by gains in the oil sector after crude oil prices rose a bit overnight.

The proposed Scania/MAN merger again made news as Volkswagen, the largest shareholder in Scania, came out against the deal. VW’s chief executive criticized the proposed deal and suggested an alternative one which would involve not only MAN and Scania, but VW’s Brazilian truck business as well. When all was said and done, Scania and Investor, it’s second largest shareholder were lower on the session, but both VW and MAN saw gains.

Investor dropped 1.3 percent to SKr152.50, while Scania’s A shares were 6.2 percent lower and the Swedish truck maker’s B shares declined 7.8 percent to SKr432 and SKr421.50 respectively. Volkswagen added 1 percent to €66.65, while MAN was 1.4 percent higher to €62.55.

In the utilities sector, meanwhile, Acciona purchased 10 percent of Endsea on Monday and said that it might make a further purchase. This move put the Endsea/Eon merger in question, which has been in the works since the beginning of the year, when Eon bid €27 billion in cash for Endsea. Also affecting the merger was a ruling from the European Commission which held that Spain had violated EU in certain conditions it put on Eon’s acquisition of Endsea.

While Eon said that the ruling strengthened its determination to pursue the deal, the German utility’s shares dropped 2 percent to €94.09. Acciona added 5.1 percent to €117.35, while Endsea gained 10.5 percent to €32.50. Elsewhere, Gas Natural was up 5.6 percent to €28.66 as it repeated its own hope to buy Endsea.

In the oil sector, OMV was 1.7 percent higher to €37.89, while Statoil added 3.6 percent to NKr152.50.

Despite a series of rumors relating to mergers & acquisitions in several sectors this week, the European equities markets were lower on Friday and for the week as investors became concerned again about the state of the US economy, which seems to be slowing. The FTSE Eurofirst 300 was 1.1 percent lower on Friday to 1,370.86, bringing it to an 0.2 percent decline for the week even though it hit four-month highs earlier in the week.

One sector that saw activity on the M&A front was pharmaceuticals. German company Merck announced that it will purchase Serono to create the seventh largest pharma group in Europe. The deal will cost Merck €10.6 billion. Merck gained 1.2 percent over the week to €76.90, while Serono added 21.8 percent to SFr1,076. Elsewhere in the sector, Altana added 0.2 percent to €45.31 on the news that it will sell its pharmaceutical unit to Nycomed.

Continental added 2.7 percent to €88.36 after it said that had been approached about a deal. The gain came even though discussions had ended after analysts expressed the opinion that the German tire maker is a good target for a leveraged buyout.

Swedish truck maker Scania B shares gained 6.5 percent to €452 after it rejected an offer from MAN. MAN dropped 1.9 percent to €62.77 on the news, but the two biggest shareholders in Scania saw gains out of the issue. Volkswagen added 0.4 percent to €65.23 and Investor was 1.6 percent higher to SKr155.50.

The FTSE Eurofirst 300 was 0.1 percent higher on Monday to 1,374.02 as the car and truck manufacturing sector was again in the news. Swedish stocks were generally higher after an election there, sending Stockholm’s OMX 30 index 0.7 percent higher for the session.

As expected German truckmaker MAN made a bid for Swedish rival Scania. Scania, however, rejected the bid, worth €9.6 billion in cash and shares, in concert with major shareholders Volkswagen and Investor. Shares in MAN dropped 5.3 percent on the news, to €60.61, while Scania’s B shares were 5.9 percent higher to SKr449.50. Investor B shares added 0.7 percent to SKr154, while Volkswagen ended the session even at €65. Renault, which said that it had sold its Scania shares to MAN, dropped 1.8 percent to €88.15. Outside the MAN/Scania situation but still in the sector, DaimlerChrysler fell 0.8 percent to €38.85 after a 5.6 percent decline on Friday after it cut its operating profits forecast for the year.

Swedish companies that saw gains due to the post-election bounce included TeliaSonera, up 1.1 percent to SKr45.70 on speculation that the new center-right government, which owns 45.3 percent in the telecom operator, could sell its stake. Nordea Bank was 1.6 percent higher to SKr94.50, also on the expectation that the new government will sell its 20 percent stake for up to €5.2 billion. Likewise, air carrier SAS gained 2.2 percent to SKr93.75 on the possibility that the government will sell its 21.4 percent stake in the airline.

Not all Swedish shares were up, however. Telecommunications equipment maker Ericsson was up early but ended the session down 0.4 percent to SKr24.80. Elsewhere in the telecoms equipment sector, Finnish company Nokia continued its decline, dropping 1.1 percent to €14.97 amid continuing rumors that it will issue a profits warning soon.