Race for cyclicals lifts European autos to 11-mth high
07/12/2016 14:44
MILAN, Dec 7 (Reuters) - European auto shares surged more
than 3 percent to their highest level since mid-January with
investors lured by their low valuations and a continued rotation
into cyclical stocks.
Traders said the mergers and acquisition activity also
helped after Faurecia EPED.PA started talks to buy the
automotive unit of French drone specialist Parrot PARRO.PA .
Europe's auto sector index .SXAP has fallen 10 percent so
far this year. By 1507 GMT it was up 3 percent to its highest
level since January 13. Faurecia rose 5.2 percent, while shares
in big car makers such as Daimler DAIGn.DE , BMW BMWG.DE and
Volkswagen VOWG.DE were all up more than 3 percent.
(Reporting by Danilo Masoni; Editing by Vikram Subhedar)
((Danilo.Masoni@TR.com; +39-02-66129734; Reuters Messaging:
danilo.masoni.thomsonreuters.com@reuters.net))
Keywords: EUROPE STOCKS/AUTOS