European share prices firmed on Thursday as investors took stock of another mixed session on Wall Street and awaited key data on the state of economies on both sides of the Atlantic.
Markets shrugged off heavy profit taking on stocks in oil companies, triggered by expectations that crude oil prices would fall, to forge into positive territory by mid morning.
The Paris market led the way, with the CAC 40 index gaining more than one percent to 6,644.85 points.
In London, dealers were mildly encouraged by retail sales figures showing a pick-up in high-street activity, and the FTSE 100 index overcame a sticky start to advance 0.75 percent to 6,527.6 points.
In Frankfurt meanwhile, the DAX index was 0.6 percent to the good at 7,051.39.
Asian markets had been more hesitant, taking their cue from the mixed picture on Wall Street, where the Dow Jones Industrial Average lost 0.45 percent while the NASDAQ index added 1.15 percent.
Tokyo stocks edged up 0.1 percent, while Hong Kong shares closed 1.4 percent lower.
The Euro surged to 0.8689 dollars on anticipation of European Central Bank intervention.
Investors are waiting for important US data, to be published on Thursday and Friday, which will give further clues as to the state of consumer confidence and inflation in the powerhouse US, economy.
They have also been reticent this week to wade into stocks for fear that the sky-high oil price will soon start to sap at corporate bottom lines and undermine stock markets.
Telecoms and technology stocks were broadly stronger however following the Nasdaq rally.
In London, BT gained 1.9 percent to 817 pence, while Vodafone gained 2.2 percent to 270 pence. In Paris, Alcatel put on 2.8 percent to 86.25 Euro and France Telecom 2.1 percent to 129.10 euros, while Deutsche Telekom led gainers in Frankfurt with a 2.3-percent gain to 43.30 euros.
But oil stocks were headed the other way, as oil prices eased amid hopes of greater supply volumes from the Organization of Petroleum Exporting Countries (OPEC).
French Total FinaElf lost 2.4 percent to 175.80 euros, while in London Shell slipped 1.7 percent to 589.5 pence and BP Amoco shed 3.2 percent to 634 pence.
In Paris, consultancy Cap Gemini set the tone by posting a 76-percent increase in first-half profits, which helped its share price jump 3.5 percent to 217.50 euros.
LibertySurf was another big winner, up 2.18 percent at 30.50 euros following a report that media and utilities giant Vivendi was mulling a takeover bid.
Britain's BAE Systems defense giant however was an early loser, shedding 3.2 percent to 385.25 pence despite a healthy jump in first-half profits.
But EMI group was among the leaders with an 8.6-percent gain to 572.5 pence following a Financial Times report that its merger with Time Warner could be blocked by the European Union -- LONDON(AFP)
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