By Sara Sjolin, MarketWatch
LONDON (MarketWatch) -- European stock markets extended a rally
on Wednesday, a day after the region's benchmark index scored a
41/2 year record as investor appetite as the Dow Jones Industrial
Average hit an all-time closing high.
The Stoxx Europe 600 index gained 0.2% to 294.60, on track for
its highest level since June 2008.
Shares of Vodafone Group PLC (VOD) rallied 6.9% after Bloomberg
News late Tuesday reported that Verizon Communications Inc. (VZ) is
considering several options involving its relationship with the
U.K. telecom giant this year. The options range from ending the
wireless venture to a full merger.
Vodafone owns a 45% stake in the Verizon Wireless subsidiary,
while Verizon holds the rest. A representative from Vodafone
declined to comment. See: Vodafone up 5% on report Verizon mulling
options
On a more downbeat note, Edenred dropped 3.5% as Nomura cut the
prepaid-services firm to reduce from neutral.
For the broader European stock market, investors shrugged off a
downbeat reading on economic growth in the euro zone in the fourth
quarter. The second estimate for gross domestic product for the
region confirmed a 0.6% contraction for the final months of 2012,
with Spain, Italy and France contributing to the decline.
Additionally, trade data for the currency bloc showed both
imports and exports dropped 0.9% in the fourth quarter.
In the U.S., stocks pointed to a higher open on Wall Street, a
day after the Dow Jones Industrial Average (DJI) jumped 125.95
points, or 0.9% to 14,253.77, marking the highest closing level on
record. See: U.S. stock rally lifts Dow to record finish and See:
Stock futures higher before ADP, Beige Book.
Back in Europe, oil firms were among major advancers, even as
the oil price slipped. Late on Tuesday, April oil futures (CLJ3)
drifted lower on news Venezuelan President Hugo Chávez had died
after fighting cancer. See: Why oil prices dipped on Chavez's
death.
Shares of Total SA (TOT) gained 0.3% in Paris, BP PLC (BP) added
0.4% and BG Group PLC rose 0.3% in London.
The CAC 40 index rose 0.2% to 3,794.35, while the U.K.'s FTSE
100 index traded 0.3% higher at 6,450.96. See: Global stock markets
far from Dow euphoria
On a downbeat note in London, shares of Imperial Tobacco Group
PLC (ITYBY) lost 1.6%, on the back of an article in the Guardian
saying the U.K. government will introduce plain-packaging laws for
cigarette packets later this year.
Germany's DAX 30 index gained 1% to 7,949.03. Shares of Henkel
AG & Co. KgaA climbed 2.3%, as the home-chemicals maker said
its 2012 targets were fully achieved, as sales rose 5.8% and
adjusted operating profit improved 15.1%.
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