In Europe on Tuesday, the FTSE Eurofirst 300 gained 0.13 percent higher to 1,218.06, its highest level at the close of a session since May of 2002.

The automobile manufacturing sector was up as analysts said the sector would grow by 22 percent in 2005, well ahead of its prediction at the beginning of the year that it would grow by 10 percent.

Porsche gained 2.3 percent to €685, Volkswagen was up 3.1 percent to €47.22, and BMW advanced by 2.5 percent to €37.89 after Goldman Sachs upgraded it on Monday from “in line” to “outperform”.

DaimlerChrysler gained 2 percent to €41.95 after it announced that it has averted a strike with Canadian workers by coming to agreement on a three-year deal on wages.

French insurer AGF gained 1.9 percent to €78.55 while it’s German parent company, Allianz, was up 0.8 percent to €106.19.

Meanwhile Danish company Moller Maersk, the largest container shipping company in the world, lost 3.1 percent to DKr65,400 on a ratings cut from “buy” to “reduce” from UBS. UBS also lowered the company’s target price from DKr70,000 to DKr60,000, warning that freight flows were slowing down even as capacity was rising.

Meanwhile in Germany, the Xetra Dax gained 0.8 percent on the day to 4,962.86 after sharp losses on Monday in the wake of the outcome of Sunday’s elections there.

The Tokyo equities markets saw declines on Wednesday as post-election elation gave way to profit taking and worries about the state of the US economy. The Nikkei 225 fell 0.5 percent to 12,834.25, while the Topix index dropped 0.3 percent to 1,212.35.

Some export-dependent stocks fell. Sony declined by 1.7 percent to ¥3,980. Toyota fell by 0.4 percent to ¥4,700 as the transport equipment sector as a whole was down by 0.3 percent.

Still, shares in domestic companies felt the brunt of the profit-taking on the day, with the insurance, securities, and banking sectors all down. Insurer Sompo Japan fell 4 percent to ¥1,372 as the insurance sector as a whole dropped 1.8 percent.

The securities sector was down 0.7 as securities house Nomura declined by 0.9 percent to ¥1,521. Japan’s biggest banking group, Mizuho, was down 0.5 percent to ¥637,000, while the sector as a whole lost 0.8 percent. Real estate group Fudosan was also down, losing 1.6 percent to ¥1,599. There were gains on the day, however.

Square Enix, the videogame maker was up 2 percent to ¥3,130 on an initial “outperform” rating from Credit Suisse First Boston. Additionally Yakult, a company that makes fermented lactic drinks as well as drugs and cosmetics, gained 4.9 percent to ¥2,580 on an upgraded rating from Mizuho Securities.

The Tokyo equities markets saw declines on Wednesday as post-election elation gave way to profit taking and worries about the state of the US economy. The Nikkei 225 fell 0.5 percent to 12,834.25, while the Topix index dropped 0.3 percent to 1,212.35.

Some export-dependent stocks fell. Sony declined by 1.7 percent to ¥3,980. Toyota fell by 0.4 percent to ¥4,700 as the transport equipment sector as a whole was down by 0.3 percent.

Still, shares in domestic companies felt the brunt of the profit-taking on the day, with the insurance, securities, and banking sectors all down. Insurer Sompo Japan fell 4 percent to ¥1,372 as the insurance sector as a whole dropped 1.8 percent.

The securities sector was down 0.7 as securities house Nomura declined by 0.9 percent to ¥1,521. Japan’s biggest banking group, Mizuho, was down 0.5 percent to ¥637,000, while the sector as a whole lost 0.8 percent. Real estate group Fudosan was also down, losing 1.6 percent to ¥1,599. There were gains on the day, however.

Square Enix, the videogame maker was up 2 percent to ¥3,130 on an initial “outperform” rating from Credit Suisse First Boston. Additionally Yakult, a company that makes fermented lactic drinks as well as drugs and cosmetics, gained 4.9 percent to ¥2,580 on an upgraded rating from Mizuho Securities.

The Tokyo equities markets were up substantially on the landslide election victory Sunday of Prime Minister Junichiro Kozumi’s Liberal Democratic party, as foreign investors seemed particularly enthusiastic in the post-election buying.

Upward revision of second-quarter gross domestic product figures also helped the markets to their gains. GDP growth was put at 0.8 percent in the second quarter, up from the original figures of 0.3 percent.

The Nikkei 225 was up 1.6 percent to 12,896.43, while the Topix index gained 1.3 percent to 1,309.80.

The LDP won 296 seats in the lower house of parliament, the first single-party majority there in 15 years. In addition the LDP’s coalition partner, the New Komeito party, won 31 seats, bringing administration-friendly seats to more than two-thirds of the lower house. Analysts say that this all but guarantees that the prime minister’s postal privatization bill will pass when it is reintroduced in the autumn.

Domestic sectors that figure to benefit the most from the recovery of the Japanese economy, which is expected to go forward after the election’s outcome, saw gains on the day.

Insurers gained the most on the day, with the sector rising by 3.9 percent. Other domestic sectors seeing advances included construction companies, which gained 1.8 percent; retailers, up 2 percent; real estate, which rose by 2.6 percent; and banking, which advanced by 2.8 percent. The biggest individual gainer came from the banking sector, when Mizuho gained 4.4 percent to ¥640,000.

Outside of the domestically-oriented sectors, the nation’s largest systems integrator, NTT Data, gained 8.4 percent to ¥424,000 on the expectation that it will experienced increased demand after post office privatization. Additionally, Yamada Denki, Japan’s largest discount electronics retailer, added 8.7 percent to ¥8,530.

Polls ahead of Sunday’s election in Japan showed that the current ruling coalition, let by the Liberal Democratic party, is likely to win an easy majority.

This set investors’ minds at ease and domestic stocks sowed significant gains on the day.

There had been worries that without an obvious majority, the equities markets could be hurt by lack of direction on economic policy. Overall, the Nikkei 225 was up 1.3 percent to 12, 692.04, while the Topix index gained 1.1 percent to 1,293.35.

The securities sector gained 0.8 percent after declines in the morning. The insurance sector was up 2.8 percent, while the real estate sector advanced by 2.4 percent.

In real estate, Mitsui Fudosan was up 3.7 percent to ¥1,544. In addition, Leopalace21, which builds and subleases apartments, added 7.2 percent to ¥2,310 on the news that Goldman Sachs had reiterated its “outperform” rating for the company.

In the oil sector, meanwhile, Inpex was up 3.6 percent to ¥844,000, Nippon Oil added 1.7 percent to ¥889, and AOC advanced by 5 percent to ¥2,115.

European equities markets were up on Friday, ending the week up as well. The FTSE Eurofirst 300 gained 0.3 percent on the day to 1,207.0, bringing its gains for the week to 1.9 percent. Meanwhile, German’s Xetra Dax index closed above 5,000 for the first time since May 2002.

Utilities were in the news during the week. Endsea was the recipient of an unsolicited takeover bid from Gas Natural, which it rebuffed, gaining 9.6 percent over the week in the process to close the week at €20.35. Gas Natural lost 3 percent to €23.80.

Meanwhile, Eon said it was thinking about bidding for Scottish Power, sending its shares up 0.6 percent to €79.31. Iberdrola, Spain’s second-biggest electricity company, was up 5.5 percent to €22.24 and the third-largest electricity supplier in Spain, Union Fenosa, gained 8.6 percent to €25.98.

There were takeover rumors in the banking sector as well, as there was talk that a group of Saudi investors was thinking about trying for German bank HVB group and that Allianz was considering selling its investment banking unit, Dresdner Kleinwort Wasserstein. HVB rose by 1.2 percent to €23.65, while Allianz gained 5.5 percent to €109.07.

The banking sector also saw gains elsewhere. Deutsche Bank was up 8.1 percent to €77.21, UBS gained 4.2 percent to SFr107.50, and Credit Agricole added 8.6 percent to €23.48.

Both the Nikkei and Topix indices were down in Tokyo on Thursday as investors expressed worry over uncertainty about the outcome of Sunday’s election by selling shares in companies that are domestically focused.

Although stocks are still up from their levels at the time elections were called, the past few days have seen declines as the election comes closer. According to analysts, the concerns revolve around the possibility that no party will gain a majority in the election, making it harder to agree on economic policy, which could be bad for equities. On the other hand, a clear victory for Prime Minister Junichiro Koizumi’s Liberal Democrats could spell an advantage for equities.

The Nikkei 225 fell 0.6 percent to 12,533.89 and the Topix index was down 0.5 percent to 1,278.90.

The banking sector managed to stay even on the day as data released by the Bank of Japan showed a rise in bank lending, the first such rise since records began seven years ago.

The real estate sector, however, fell 0.9 percent, while the securities sector also declined by 0.9 percent and wholesalers dropped 1 percent. The largest real estate company and the largest securities house in Japan each lost 1.1 percent on the day as real estate company Mitsui Fudostan ended the session at ¥1,489 and securities firm Nomura closed the day at ¥1,468.

Mayonnaise and salad dressing maker QP ended the day on a high note, gaining 3 percent to ¥992 after Daiwa Research Institute raised its rating from “3” to “2” and said the company would reach record high operating profits in the 2007-2008 fiscal year.

In Europe on Wednesday, the FTSE Eurofirst 300 gained 0.3 percent to 1,205.03, its highest close in over three years, helped along by strength in the financial sectors.

Credit Agricole, France’s largest retail bank, gained 6 percent to €23.74 when its report that net profits were up by 23 percent, much more than had been expected.

The news prompted several agencies, including Deutsche Bank, WestLB, and Dresdner Kleinwort Wasserstein, to upgrade the stock Deutsche Bank also upgraded and increased its target price for UBS and Credit Suisse and also increased Commerzbank’s price target.

Commerzbank gained 2.4 percent to €22.21, while Credit Suisse also was up 2.4 percent, to SFr57.60 and UBS added 1.7 percent to SFr106.90.

Among reinsurers, UBS and Credit Suisse First Boston both upgraded Swiss Re, sending its stock up 2.4 percent to SFr82.50. Gains were also seen in technology sector, with STMicroelectronics up by 4.7 percent to €13.94, while Infineon gained 1.7 percent to €7.85, and ASML advanced by 0.9 percent to €13.76. There were some losers on the day. Accor, the hotels group, lost 2.7 percent to *42.33.

IT services group Atos Origin was down 2.4 percent to €59.75 even though its first half profits were up by 11 percent as it did not increase its full-year prediction. Brewer Heineken fell 0.5 percent to €26.87.

Following the lead of the London equities markets on Tuesday, the FTSE Eurofirst 300 gained 0.9 percent to 1,201.09 on the strength of gains in the utilities sector. It was the Eurofirst’s highest close since May 2002.

Spain’s largest electricity generator, Endsea, gained 8.1 percent to €20.63 while its board met to consider an offer from the smaller gas distributor and wholesaler, Gas Natural. At a worth of €22.55 billion, if the deal goes through it would be the largest European merger this year. However, Natural Gas lost 1.8 percent to €23.34 when BNP Paribas called the deal “not very attractive” and downgraded the Barcelona-based company to “under perform”.

Elsewhere in the sector, Iberdrola, Endsea’s largest competitor, was up 3.5 percent to €22.27 and Union Fenosa, a smaller Spanish utility, added 1.2 percent to €25.48. Germany’s Eon gained 0.2 percent to €80.80 on the rumor that it might bid for UK utility Scottish Power. Elsewhere, the banking sector also saw gains. Deutsche Bank gained 4.8 percent to €76.14, its highest level in a year and a half, as Merrill Lynch upgraded it to “buy”. Spanish bank BBVA, also upgraded to “buy” by Merrill Lynch, added 1.2 percent to €13.97.

Meanwhile, ABN was up 1.3 percent to €19.71, while Lloyds TSB gained 1.6 percent on the day. In the insurance sector, French company AXA gained 2.3 percent to €22.14 as in announced a more-than-expected rise in profits for the half-year and said it was still on track to have strong earnings in 2005 in spite of Hurricane Katrina.

In the Tokyo equities markets on Friday, the Nikkei 225 closed at another four-year record high, gaining 0.7 percent to 12,600.00, while the Topix index was up 0.4 percent to 1,282.79.

Real estate and retailing led the gains, with sector-wide gains of 1.2 and 1.3 percent respectively. Real estate was still benefiting from news that housing starts in Japan were at a seven-year high, while retailers saw gains due to announcements by individual companies.

In the real estate sector, developer Mitsui Fudosan gained 0.6 percent to ¥1,455, while Mitsubishi Estate was up 1.2 percent to ¥1,374.

In the retail sector, Seven & I Holdings, Asia’s largest retailer, announced that it will take full ownership of its US subsidiary 7-Eleven, gaining 4.8 percent to ¥3,520. In addition, supermarket chain operator Uny added 0.85 percent to ¥1,312 on the news that its annual net profit nearly tripled due in large part to debt forgiveness.

On the other hand, the banking sector fell by 0.7 percent on rumors that regulators want to make it simpler for the government to sell preferred shares in large banks for common stock.

In Europe on Friday, the FTSE Eurofirst 300 saw losses on the day, falling by 0.1 percent to 1,183.95, but it gained 1.7 percent on the week.

Oil and construction were higher for the week, mainly in consideration of the damage caused by Hurricane Katrina in the Gulf Coast region of the United States.

Carmakers and reinsures saw losses for the week, however. The oil sector as a whole gained 4.2 percent to 1,438.33, with Finnish refiner Neste Oil up 13.3 percent to €27.90 on wider margins.

The construction sector was up 1.9 percent as it became clear that the storm-ravaged region will require extensive rebuilding after it is drained of water.

Reinsurers suffered as it became clear how much money in claims they would have to pay out to victims of Katrina. Munich Re and Swiss Re each estimated that their payouts could be in the neighborhood of $500 million. Munich Re lost 1.3 percent on the week to €90.02, while Swiss Re was down 1.4 percent on the day and lost 2.7 percent for the week to €79.85.

Zurich Financial SVS declined by 2.3 on the week to SFr215.60. Hannover Re reduced its profits estimate for the year by one-third.

Meanwhile, in the automobile manufacturing sector, high gasoline prices and a generally weaker dollar sent Porsche down 2 percent to €625.85, while DaimlerChrysler lost 3.2 percent to €40.60.

The London equities markets closed down slightly for the day on Friday but was up substantially on the week, mostly on the strength of mergers and acquisitions rumors.

The FTSE 100 ended the day down fractionally to 5,326.8, but gained 1.9 percent over the course of the week. The FTSE 250 also dropped fractionally on the day to, to 7,792.3, but was up by 1.2 percent for the week.

The biggest winner was chemicals company BOC, which gained 4.1 percent to £11.28 on the day after it was rumored that it was in talks with German company Linde, while similar talk that it was also talking to BASF were dismissed. Also in the chemicals sector, ICI gained 1.5 percent to 296¼p.

The Germans, specifically E.ON, were also said to be interested in Scottish Power, which gained 2.5 percent to 525p on the talk.

Pilkington gained 5.2 percent to 139½p on continuing talk that Nippon Sheet Glass, which already owns 20 percent of Pilkington, could purchase the rest of the company, but not everyone was buying the rumors, which some analysts say make the rounds on a regular basis.

In the banking sector, Lloyds TSB gained 1.5 percent to 465½p on the assumption that it is the most logical target if any US or European banks are looking to make a purchase in the UK. Elsewhere in the sector, Royal Bank of Scotland was down 0.8 percent to £16.17.

The FTSE Eurofirst 300 saw gains for the second straight day on Thursday, rising by 0.7 percent to 1,185.83.

Builders were the big winners of the day as it become clear just how much reconstruction will be necessary on the Gulf Coast of the United States in the wake of Hurricane Katrina, and shares in insurers and reinsures moved little as it was still unclear exactly how much that rebuilding will cost.

Builders and building materials suppliers in Europe benefited from the impression that US companies will be unable to provide all the materials needed for the recovery effort. The world’s biggest cement maker, Lafarge, gained 2.9 percent to €77.20.

Lafarge already does over half of its business in the US. Elsewhere in the sector, Holcim was up 1 percent to SFr82. Spanish builder ACS added 3 percent to €25.08 on a strong report of first-half profits due to its participation in the Spanish building boom and expansion into industrial services.

Insurers and reinsures were mixed as analysts said that any estimates of the monetary damages caused by Katrina were sheer speculation, considering that many areas were still inaccessible.

Swiss Re was up by 0.3 percent to SFr81 and Munich Re gained 0.1 percent to €90.90, but Hannover Re lost 1 percent to €28.82. The biggest loser of the day was Deutsche Post, which dropped 3.9 on the day to €19.65 amid heavy trading after it was revealed that it had made a bid to purchase Exel, the British logistics group.

Another 1995 spinoff from the former Bundespost, Deutsche Postbank saw an advance on the day, adding 3.5 percent to €46.01 as JP Morgan raised its target price to €40 per share from €32.

The London equities exchanges were up on Thursday, with the FTSE 100 seeing a gain of 0.6 percent to 5,328.5 and the FTSE 250 rising by 0.6 as well, to an all-time high of 7,798.5. Trading amounted to a total of 2.9 billion shares.

Part of the gains can be accounted for by a rise of 17.3 percent by logistics group Exel after it confirmed that it had received a bid from Deutsche Post.

At least one analyst anticipated that there would be counter bids for the company, possibly from US company UPS, which has considered bidding for Exel in the past.

Other companies in the transport sector benefited from the speculation, with TDG adding 3.1 percent to 236p and Wincanton gaining 6.2 percent to 288¼p.

Insurers again were down as the damage done by Hurricane Katrina grew more obvious. Wellington Underwriting lost 4.5 percent to 101¾p, Catlin declined by 4.1 percent to 439½p, Amlin was down 2.9 percent to 177p, and Brit Insurance dropped 2.8 percent to 87½p.

On the other hand, companies that stand to benefit from rebuilding after the storm saw their shares gain in value. Aggreko, the temporary power generator, was up by 7.5 percent to 225p and Ashtead gained 7 percent to 130½p. The world’s biggest distributor of plumbing supplies, Wolseley, was up 2.8 percent to £11.59.

The New York equities markets were up on Wednesday despite bad news from the area affected by Hurricane Katrina as well as economic news that showed economic growth up less than expected in the second quarter and data showing the manufacturing sector contracting for the first time in two years in August.

Higher oil prices were blamed for the negative economic data. The Dow Jones Industrial Average gained 0.7 percent to 10,484.52, the Nasdaq composite added 1.1 percent to 2,152.09, and the S&P 500 was up by 1 percent to 1,220.31. The S&P energy index gained 2.6 percent, while its insurance index was flat due to worries centered around the amount of damage caused by Katrina.

Insurer Allstate lost 0.8 percent on the day to $56.21, and it has lost nearly 4 percent since the hurricane made landfall on Monday. In contrast American Insurance Group was up 0.1 percent to $59.04.

In the energy sector TransOcean was up 2.6 percent to $59.04, Sunoco gained 5.6 percent to $72.61, and Valero Energy advanced by 10 percent to $106.50.

In the healthcare sector, hospital operator Tenet Healthcare lost 3.8 percent to $12.18 when it said it had closed six facilities because of the effect of Hurricane Katrina.

In more positive territory, luxury jewelry retailer Tiffany gained 12.3 percent to $37.42 on the announcement that its earnings were better than expected in the quarter and that it had raised its guidance for the full year.

The effects of Hurricane Katrina began to be felt on the New York equities markets on Tuesday, a combination of soaring oil prices, news of damage to the infrastructure in the areas affected that will cost insurers billions of dollars, and closures of retailers in the region hit by the storm.

Not even a report of increased consumer confidence in August helped much. The Dow Jones Industrial Average fell 0.5 percent on the day to close at 10,412.82, the Nasdaq composite lost 0.4 percent to 2,129, and the S&P 500 closed down 0.3 percent to 1,208.41.

All areas of the transport sector felt the effect of high oil prices. Delta Airlines, which was already near bankruptcy, lost 5.5 percent to $1.20 as the Amex airline index fell 3 percent to 46.75.

Ground transport was not immune either, as United Parcel Service fell 1.1 percent to $70.42 and rail freight company CSX declined by 1.7 percent to $44.85.

Insurers and reinsures dropped as damage estimates in the hurricane zone rose. Hartford Financial Services lost nearly 0.3 percent to $73.15, while American International Group declined by 0.4 percent to $59.28. Retailers and restaurants were down on the day, with many of them suffering closures in the storm-affected areas.

Wal-Mart lost 1 percent to $45.19 after it said that 123 of its stores had been closed due to the hurricane. Jewelry retailer Tiffany lost 2.6 percent to $33.31. Office supply chain Staples lost 2.9 percent to $21.85.

The oil sector, on the other hand saw substantial gains. Refiner ConocoPhillips was up 2.1 percent to $64.41, while oilfield services company Halliburton saw the value of its shares rise 3.5 percent to $59.84.

The Tokyo equities markets did better on Tuesday as they gained back the ground that they lost on Monday. The Nikkei 225 gained 1.2 percent to 12,453.14 and the Topix index was up by 1.2 percent as well, to 1,273.60.

The iron and steel sector did well, gaining 3.9 percent, while the shipping sector gained 1.5 percent. Nippon Steel gained 5.2 percent to ¥321, while JFE added 4.6 percent to ¥3,200. Shipper Nippon Yusen was up 1.5 percent to ¥696.

The transport equipment sector as a whole gained 1.3 percent, and Toyota, one of Japan’s biggest exporters and the second largest automobile manufacturer in the world, was up by 2.2 percent to ¥4,550.

In the pharmaceuticals sector, Eisai was up 1.2 percent to ¥4,160 after an announcement on Monday that it was ready to take its experimental drug aimed at treating sepsis to the next level of testing.

The financial sector also did well. Banking group Mizuho gained 4 percent to ¥619,000, while securities house Nomura added 2.2 percent to ¥1,521.

On the losing side, supermarket chain Eco lost 5.7 percent to ¥1,084 when it said it would probably take losses in the first half of the 2005-2006 fiscal year due to low sales, which it blamed on heavy competition.

In Europe on Tuesday, insurers saw slight gains on hopes that the damage from Hurricane Katrina would not be as extensive and as costly as feared, while oil companies saw the value of their stocks rise with the gains in crude oil prices.

Meanwhile, construction companies saw mixed results. The FTSE Eurofirst 300 was down by 0.04 percent to 1,166.94. In the insurance sector, reinsurer Munich Re put its estimate of Katrina’s damage at between $15 billion and $20 billion in insured loss, and said that it did not see the hurricane’s effects as any reason to alter its 2005 earnings forecast. Munich Re gained 0.3 percent to €91. Meanwhile, Hannover Re gained 0.7 percent to €29.90.

In the oil and gas sector, prices that hit new record highs outweighed the known and possible damage to production facilities in the area affected by Katrina to send share prices higher. Repsol YPF was up 0.4 percent to €23.37, while Total gained 0.6 percent to €207.80 and Royal Dutch Shell added 1 percent to €25.99.

In the construction sector, Irish building materials group CRH dropped 2.8 percent to €21.65 despite having reported a 20 percent rise in pre-tax profits. On the other hand, Spanish builders did better. Acciona saw a 2.5 percent gain to €89.40 on its report that first-half profits were up by 37 percent, while ACS, Spain’s largest construction group, was up 1.7 percent to €24.10 in anticipation of the release of its first-half results on Wednesday.

In European equities markets on Monday, stocks rose after a full week of losses last week as the FTSE Eurofirst 300 ended the day up 0.3 percent to 1,167.43, in the absence of trading of 76 UK stocks because of the UK bank holiday.

The oil sector was mixed on the day, with Hurricane Katrina to blame. Smaller oil companies were mainly up, with Austrian company OMV up 2.7 percent to €43.70, while Saipem of Italy added 1.7 percent to €13.17.

However some larger oil companies, and especially those with operations in the Gulf of Mexico, sustained losses due to production halts and the uncertainty over whether or not their facilities would sustain damage from the storm. Royal Dutch Shell lost 0.1 percent to €26.79. Despite the storm Total, the French oil company, managed to gain 0.4 percent to €206.60.

The airlines and automobile manufacturing sectors saw losses due to rising oil prices. Lufthansa fell 0.1 percent to €10.74 and Ryanair declined by 0.6 percent to €6.55.

Tui, out of Germany, managed to overcome the news of higher oil prices to gain 1.2 percent to €19.28 on its announcement that it was thinking about raising fuel surcharges this winter.

In the auto sector Volkswagen was one of the few stocks to avoid losses, avoiding movement at all to stay at €42.91. Elsewhere, Renault lost 0.6 percent to €71.55, while Peugeot and Porsche each fell by 0.2 percent, to €50.60 and €637.63 respectively.

Insurers also had a bad day as losses due to Hurricane Katrina were being projected to possibly rise as high as $25 billion if it hit major population centers.

Primary insurers did badly enough, with Zurich Financial falling as far as SFr215.20 before ending the day up by only 0.1 percent to SFr220.70 and ING losing 0.3 percent to €23.18. Reinsurers did even worse. Swiss Re fell 0.4 percent to SFr81.65, Munich Re lost 0.5 percent to €90.73, and Hannover Re declined by 0.8 percent to €29.70.

The FTSE Eurofirst 300 saw five straight days of losses during the week, and ended the day Friday down by 2.5 percent from its starting point on Monday.

The oil sector saw mostly negative results despite a rise of 1 percent in crude oil prices for the week.

The exception was OMV, listed in Vienna, which gained 9.6 percent on the week to €42.63 to rate as the biggest advance during the week on the Eurofirst.

This rise came on an unexpectedly healthy rise in profits in the second quarter, brought about by good refining margins and a Romanian acquisition.

Elsewhere in the sector, the results were not so good. Eni dropped 2.9 percent to €23.22, while Repsol YPF lost 2.8 percent to €23.17 and France’s Total declined by 2.2 percent to €205.70.

In the automobile manufacturing sector, while Fiat lost 3.9 percent on Friday to end the week at €7.08, it still managed to post a gain of 0.7 percent for the week.

Most of the week’s gains for the carmaker came from heavy sales ahead of a loan conversion that could leave the banks that extended the loans owning more of the company than is held by the company’s founding family.

It was rumored that most of that buying had been done by the family’s holding company to limit how much the stock will be diluted by the conversion.

Reinsurer Swiss Re gained 2.8 percent on Friday, the best performance of the day, to SFr82, and notched a 1.9 percent gain on the week.

The London equities markets ended both the day Friday and the week mixed as investors worried that interest rates might be about to rise due to an increase in inflation brought on by higher oil prices.

The FTSE 100 closed at 5,228.1 on Friday, down 0.5 percent on the day and 1.6 percent lower for the week. The FTSE 250, however, gained 0.3 percent for the day and 0.5 percent for the week to close at 7,700.5.

Trade volumes were low at only 2 billion shares traded on the day. The slow trade was put to the upcoming bank holiday; traditionally, this is one of the quietest times of year on the exchanges.

With little news of substance, rumors concerning possible takeovers drew extra attention.

On Friday such rumors sent shares in Imperial Tobacco up a bit, rising 0.1 percent to £15.36. All it took to start the rumors were comments from Japan Tobacco that it might be interested in acquiring European rivals.

During the week Centrica, Lloyds TSB, and Rentokil were all the subject of takeover rumors of one sort or another.

Lloyds saw its shares fall in value by 0.1 percent to 457½p on Friday as analysts cast doubt on rumors that US bank Wells Fargo was interested in the bank.

Meanwhile, leisure group Hilton gained 2 percent to 310p as Goldman Sachs raised its pre-tax profits prediction for the company by 2 percent to £420.8 million. Hilton was also helped by an increase in its target price by UBS from 340p to 355p.

Japanese equity markets were down on Thursday as investors manifested concerns about high oil prices and the recent strong gains in shares of companies dependent on domestic demand.

The Nikkei 225 was down 0.8 percent to 12,405,16, while the Topix index fell by 0.6 percent to 1,268.06. Sectors that do most of their business domestically fell the most on the day.

Banking was down 2.05 percent and real estate fell 1.5 percent, while services were down 0.95 percent and securities declined by 1.1 percent.

One of Japan’s largest securities firms, Daiwa Securities, were down 1.9 percent to ¥733. However, Japan’s largest securities company, Nomura, did go up by 0.4 percent to ¥1,515.

In the real estate sector, developer Mitsui Fudosan lost 2.2 percent to ¥1,406.

Shoe wholesaler and retailer ABC Mart was up by 11.4 percent to ¥4,879 on stronger than expected sales and an increase in its forecast of net profits.

Toymakers Takara and Tomy, which will merge next year, were both up, by 8.8 percent and 6.6 percent respectively.

In London equities markets on Thursday, the indexes were lower as crude oil prices rose once again.

The FTSE 200 dropped 0.4 percent to 5,255.7 and the FTSE 250 was down by 0.3 percent to 7,679.1 on a volume of 2.5 billion shares traded. Shares in companies that rely heavily on oil products were down.

British Airways fell 1.8 percent to 279 ½ p, while cruise operator Carnival lost 1 percent to £29.40.

Lloyds TSB traded nearly 70 million shares and was up by 4 percent at one point on the day as rumors floated that US bank Wells Fargo would acquire Lloyds, although Wells Fargo has not shown any inclination to acquire European banks. Lloyds ended the day up by 0.9 percent to 458¼p.

Also in the banking sector, the Royal Bank of Scotland lost 1.4 percent to £16.21 after ABN Amro repeated its rating of “reduce” on the bank.

In the leisure sector, Hilton declined by 2.3 percent to 298½p on the news that its Ladbrokes betting shops had sustained a recent series of bad results. In addition, Hilton reported that its hotels have seen falling demand, largely as a result of the July terrorist bombings in London. Still, the company’s interim profits were up.

Steelmaker Corus Group lost 1 percent to 44¼p despite higher interim profits, as it warned that third-quarter profits would be impacted by higher costs for raw materials and lower prices on its products.

The Tokyo equities exchanges were down Wednesday morning amid profit-taking after earlier gains.

The Nikkei 225 fell 0.24 percent to 12,441.31, while the Topix index lost 0.35 percent to 1,267.59.

The steel sector as a whole lost 0.9 percent, and Nippon Steel lost 1.3 percent to ¥310.

Other sectors that saw losses included the insurance sector, down by 1.5 percent, the securities sector, which lost 1.2 percent, and the real estate sector, which declined by 1.1 percent.

The banking sector, which was a victim of profit taking before the other sectors, only fell by 0.3 percent.

There were sectors that saw gains, including retailers, which gained 0.1 percent, and the sea transport sector, which was up by 0.7 percent.

In the shipping sector, Mitsui OSK Lines gained 1 percent to ¥822 on a positive share outlook from UBS.

Camera maker Nikon lost 2.1 percent to ¥1,340 when Merrill Lynch lowered its rating from “buy” to “neutral”, saying that the company has neared its share price target and it cannot see any reason to raise that target.

Meanwhile, discount chain retailer Aoyama Trading gained 0.2 percent to ¥2,940 on the Osaka equities exchange.

Morning trading on the Tokyo equities markets sent stocks higher, so that by midday, the Nikkei 225 had risen by 0.9 percent to 12,569.99, while the Topix index had gained 0.8 percent to 1,280.36.

The gains were seen in many sectors. Advertiser Dentsu, Japan’s biggest, added 3.2 percent to ¥288,000 even thought it announced an 11 percent decline in its quarterly operating profit on Monday.

The steel sector was also up. Tokyo Steel Manufacturing gained 2.6 percent to ¥1,676 as it announced price increases for September, while Nippon Steel was up 1.3 percent to ¥318.

Video game maker Square Enix added 3.5 percent to ¥3,100 on the announcement that it would bid for game machine manufacturer Taito. Taito’s shares were up by 12.4 percent to ¥181,000 on the news.

In other sectors, camera and copier maker Canon was up 1.4 percent to ¥5,650, securities firm Nomura gained 2.2 percent to ¥1,539, and supermarket chain Ito-Yokado added 4.5 percent to ¥4,150.

The banking sector, however, saw losses as Mizuho declined by 0.2 percent to ¥594,000.

Japanese equities markets were up on Monday morning, as the Nikkei 225 gained 0.8 percent to 12,390.66 and the Topix index rose by 0.9 percent to 1,261.21 on continuing optimism about the direction of the economy and as investors bought into domestically-oriented companies.

Sanrio, the maker of the Hello Kitty brand was up 3.5 percent to ¥1,182 on a positive quarterly earnings report.

The oil sector advanced on higher crude oil prices but those same high prices did not seem to bother companies that use a lot of oil. Nippon Oil, Japan’s largest distributor of oil, gained 1.1 percent to ¥858, which Japan’s largest shipper, Nippon Yusen, gained 0.6 percent. The sea transport sector as a whole was up 1.4 percent, and stocks in air transport companies gained 0.7 percent.

Banking, insurance, and real estate were also up, with the banking sector as a whole up 2.4 percent, while real estate and insurance each rose by 1.2 percent.

Online broker Monex Beans added 3.9 percent to ¥133,000. Japan’s largest banking group, Mizuho, gained 3.6 percent to ¥580,000, and insurer NipponKoa was up by 1 percent to ¥793.

In European equities markets on Thursday, oil stocks were down on falling oil prices and concerns that if energy costs remain high they could cause the economy to slow.

The FTSE Eurofirst 300 fell 0.3 percent to 1,182.38 at the close of the trading day.

While still very high, oil prices hit their lowest level in two weeks. In reaction OMV, the Austrian oil company, declined by 4.3 percent to €37.86, Italy’s Eni lost 1.3 percent to €23.40, French oil company Total fell 1.2 percent to €206.90, and Neste Oil of Finland dropped 0.8 percent to €23.81.

High oil prices were not just responsible for declines in the oil sector, though. They were said to be at least partially to blame for Ciba Specialty Chemicals’ 20 percent decline in second-quarter net profits to SFr79 million.

While those results were better than had been expected, the chemicals company cut its outlook for the full year. The news sent shares in the company down 2.5 percent on the day to SFr7.00.

Insurers were also down on the day. Zurich Financial fell on profit-taking after announcing a 21 percent rise in net profits in the second quarter, a better result than expected. Shares in the company fell 1.5 percent on the day to SFr231, but are still up 24 percent since the beginning of the year.

Elsewhere in the sector, German insurer Allianz lost 1.2 percent to €107.45, while French company AXA declined by 0.5 percent to €22.35.

Uncertainties about high oil prices that are affecting consumer prices in the US sent equities markets in Tokyo down on Wednesday.

The Nikkei 225 was down 0.3 percent at the close to 12,272.12, while the Topix fell 0.2 percent to 1,250.10.

During the recent rise in oil prices, most analysts have de-emphasized the possible effect of the hikes on the Japanese economy on the theory that Japan uses much less energy than other developed nations.

Now, however, it is not just export-dependent companies that are being affected by higher oil prices. With Japanese gasoline prices hitting a 12-year high recently, there is some worry that domestic demand in other sectors will be affected.

On this worry, both retailers and the real estate sector fell by 0.4 percent on the day. Leading supermarket chain Ito-Yokado lost 1 percent to ¥3,970.

The banking sector was up, however, on continuing general optimism about the recovery of the Japanese economy even though Goldman Sachs said on Tuesday that it might lower the sector’s rating to “underweight”. Banking group Mizuho gained 0.7 percent to ¥547.000.

In London on Wednesday, the equities markets saw their fifth day in a row of negative figures at the close of trade as the Bank of England released the minutes from the most recent meeting of the Bank of England’s monetary policy committee.

The banking and insurance sectors took the implication of the report, that there would not be another interest rate cut soon, especially badly. Overall, the FTSE 100 lost 0.6 percent to close at 5,292.7, while the FTSE 250 declined by 0.6 percent as well, to 7,654.5 at the close. In banking and insurance, Royal Sun Alliance was down 2.3 percent to 94 ¼p, Barclays lost 2.1 percent to 563p, Aviva declined by 2.4 percent to 621 ½p, and Prudential fell 1.7 percent to 514 ½p.

The telecommunications sector did somewhat better as Vodafone gained 0.7 percent to 151 p, BT added 1.8 percent to 220 ¾p, O2 added 2.8 percent to 146 ¾p, and Colt-Telecom gained 3.7 percent to 62 ½p.

The airline sector was mixed. British Airways fell 2 percent to 385 ¾p as its labor dispute continued. EasyJet, however, was up 1.3 percent to 299p after it announced it would save £10 million for the year as a result of a 10-year maintenance deal with Swiss firm SR Technics worth $1 billion.

Mining companies were down for the second day in a row as copper prices continued to fall. BHP Billiton lost 2.9 percent to 813p, Anglo American declined by 2.8 percent to £14.11, Rio Tinto fell 2.6 percent to £19.85, while Antofagasta dropped 1.8 percent to £14.04.

In London on Tuesday, the FTSE 100 lost 0.4 percent to 5,322.3 and the FTSE 250 was down 0.1 percent to 7,697.0 on a volume of 2.8 billion shares traded.

The biggest loser of the day on the FTSE 100 was Cable and Wireless, on concerns that it is paying too much for Energis, its smaller rival.

Meanwhile, elsewhere in the telecommunications sector, O2 lost 2.6 percent to 142 ¾p after it was confirmed that Deutsche Telekom and KPN would not bid for the mobile phone group. It was a surprise to some analysts that O2 was up after the announcement, as speculation on a possible merger had been driving its gains since the beginning of the year.

Logistics group Exel gained 0.9 percent to 995 ½p on rumors that a bid for the company would come soon. Gains had been higher earlier in the day, but slipped back as the talk diminished during the session UPS and Deutsche Post have both been mentioned as being interested in Exel.

Insurer Royal & Sun Alliance also benefited from rumors of a bid on the company, gaining 4 percent to 96 ½p, the best performance on the FTSE 100 on the day.