(RTTNews) - The European markets rose for the second day on Thursday, as gains among telecoms and airline stocks offset losses in energy and mining stocks.

In economic news, the U.S. Labor Department said in its report that initial jobless claims fell to 502,000 from the previous week’s revised figure of 514,000. Economists had been expecting claims to edge down to 510,000 from the 512,000 originally reported for the previous week.

Crude for December delivery fell $2.07 to $77.21 a barrel on the New York Mercantile Exchange, by the time the European markets closed, after a U.S. government report showed a bigger-than-forecast increase in crude inventories.

The FTSEurofirst 300 index of pan-European blue chips closed 0.10% higher at 1,014.91 points, while the narrower DJ Stoxx 50 index rose 0.12% to 2,497.25 points.

Around Europe, the U.K.’s FTSE 100 index rose 0.19% to 5,276.50, while France’s CAC 40 index fell 0.17% to 3,808.07 and Germany’s DAX index declined 0.08% to 5,663.96.

BT Group, Britain’s largest fixed line phone company, surged up 3.7% after the company raised its full year cash flow outlook.

Spain’s Telefonica rose 1.1% after the company said its recession-hit Spanish business was shrinking more slowly.

TeliaSonera rallied 6.2% after Sweden’s biggest telephone company and Russia’s Altimo agreed to combine their stakes in MegaFon and Turkcell into a new company to improve liquidity and control.

British Airways climbed 7.5% and Spain’s Iberia jumped 11.8% on news that the companies are holding separate board meetings to consider a potential transaction.

Anheuser-Busch InBev, the world’s largest brewer, rose 1.5% after the company reported third quarter profit that more than doubled from last year.

On the other hand, heavily weighted oil stocks edged lower after crude oil prices declined. BP, Europe’s biggest oil company, fell 0.9%, while Royal/Dutch Shell, the second biggest, slipped 0.8% and Total, the third biggest, lost 0.5%.

Similarly, mining stocks declined along with metals prices. BHP Billiton, the world’s biggest miner, fell 0.9%, while Antofagasta, owner of copper mines in Chile, slipped 1% and Kazakhmys, Kazakhstan’s largest copper producer, dropped 1.6%.

A.P. Moeller-Maersk, the world’s biggest container shipper, dropped 5.3% after the company reported a wider-than-estimated loss for the first nine months of the year.

For comments and feedback: contact editorial@rttnews.com

Copyright(c) 2009 RTTNews.com, Inc. All Rights Reserved

Posted in Categories: Eurozone, Releases, Stocks, UK, USA.

Subscribe by RSS Subscribe by Email