32 minutes ago
(RTTNews) - The European markets rose Thursday on speculation that government efforts to prop up banks and the economy will yield results.

Crude for January delivery fell $1.19 to $53.25 a barrel in electronic trading on the New York Mercantile Exchange, as dismal U.S. economic data and rising U.S. crude inventories outweighed the possibility of production cuts by OPEC and Russia. Markets in the United States are closed today for the Thanksgiving holiday, but electronic trading on the NYMEX continues.

The FTSEurofirst 300 index of pan-European blue chips closed 2.62% higher at 852.38 points, while the narrower DJ Stoxx 50 index rose 2.12% to 2,128.86 points.

Around Europe, the U.K.'s FTSE 100 index rose 1.77% to 4,226.10, while France's CAC 40 index climbed 2.54% to 3,250.39 and Germany's DAX index surged up 2.30% to 4,665.27.

Economy sensitive financial stocks were among the top gainers. Barclays, Britain's third largest bank, rose 4.3%, while BNP, France's largest bank, climbed 7.4% and Societe Generale, the second biggest French lender, surged up 8.5%. Deutsche Bank, Germany's biggest lender, rallied 12.4%.

Allianz, Europe's largest insurer, jumped 10.1%, while Axa, the second biggest, gained 8.2% and Aviva, Britain's biggest insurer, rose 6.6%.

Heavily weighted oil stocks rose following Wednesday's 8% rally in crude oil prices. BP, Europe's biggest oil company, climbed 3.4%, while Royal/Dutch Shell, the second biggest, surged up 3.3% and Total, the third biggest, gained 2.2%.

Mining stocks gained on firmer metals prices. BHP Billiton, the world's biggest miner, rose 2.3%, while Anglo American, the second biggest, climbed 3.1% and Rio Tinto, the third biggest, surged up 5.3%.

Air Berlin, Europe's third biggest discount airline, jumped 15% after the company reported a better- than-estimated 43% jump in third quarter profit.

ArcelorMittal, the world's biggest steelmaker, surged up 5.7% after the company said it may cut as many as 9,000 jobs globally after reducing output on falling demand.

On the other hand, Kingfisher, Europe's biggest home improvement retailer, fell 2.4% after the company reported a 4% decline in third quarter profit and said consumer confidence has been shaken in all its markets.