22 Jan 2009

Shares in Europe fall again

7:19 am on 22 January 2009

European shares fell again on Wednesday despite a rally for banks. However, other sectors also declined, including energy.

The FTSEurofirst 300 index of top European shares fell 0.7% to 769.15 points - its lowest close in more than two months.

It was the 10th fall in 11 sessions.

Energy stocks were the biggest drag on the index, even though crude prices rose more than 2% to nearly $US42 per barrel.

Deutsche Bank, HSBC, Natixis, Royal Bank of Scotland, Societe Generale and UBS all rose by 3.6% - 23.3%.

In Frankfurt, the DAX index ended at 4,261.15 points, up 21.3 or 0.5%. In Paris, the CAC-40 index closed at 2,905.57 points, down 19.71 or 0.67%.

The Swiss market index closed at 5,304.17 points, down 16.83 or 0.32%.

In Britain, the FTSE 100 closed at 4,059.88 points, down 31.52 or 0.77%.

Other markets

In Japan, the Nikkei index fell 164.15 points, 2%, to 7,901.64 - it was the lowest close since 2 December.

In Hong Kong, the Hang Seng Index dropped 376.14 points, 2.9%, to end at 12,583.63.

Australian stocks fell 1% - the lowest close in almost two months. The S&P/ASX 200 index fell 34 points to 3,442.8, a level last seen on 24 November.

The price of gold in Sydney was $US853.00 per fine ounce, up $US23.50 on Tuesday's close of $US829.50.

In New Zealand, the NZX50 was down 4 points to 2705 on turnover of $80 million.