In London equities markets on Tuesday, good news in the pharmaceuticals sector helped the FTSE 100 to gain 0.5 percent to 5,255.8. The FTSE 250 was up as well, by 0.3 percent to 7,722.4. Volume amounted to 2.2 billion shares traded.

AstraZeneca gained 2.1 percent to £25.31 on the news that a study out of the University of California at Los Angeles showed that treatment by a cholesterol-lowering statin in the first 24 hours after a heart attack lowers the risk of mortality by 4 percent.

AstraZeneca’s statin drug, Crestor, currently has a current 6 percent market share for statins in the US, and investors hoped that the study will help the company reach its target of gaining 20 percent of the market.

Also in the pharmaceuticals sector, GlaxoSmithKline gained 1.8 percent to £13.32 on reports that it may be one of the bidders for Boots’s Healthcare International.

Higher crude oil prices sent oil shares up, as BP gained 2 percent to 622p and BG Group was up 2.1 percent to 492p. Steel company Corus added 2.2 percent to 47¼p when Morgan Stanley raised the forecast for the company’s earnings per share this year by 8 percent to 9.6p.

Meanwhile, toy company Character Group gained 15 percent to 57½p on the news that its new Doctor Who toys, including a radio-controlled Dalek, will be in the shops this week.

In Europe on Monday, the FTSE Eurofirst 300 gained 0.21 percent to 1,216.44. In Germany, however, the outcome of elections there on Sunday sent the Xetra Dax down 1.2 percent to 4,926.13.

The business community was especially disappointed that the candidate and party they backed, Angela Merkel and the Christian Democratic Union party won only 3 more seats in parliament than did Gerhard Schroeder’s Social Democrats.

Two of the biggest losers were utilities Eon and RWE, which had stood to gain in the event of a big Christian Democratic win, as Ms. Merkel had promised to continue the use of nuclear power. Mr. Schroeder, on the other hand, plans to phase out the use of nuclear power over the next 20 years. RWE lost 3 percent to €55.22, while Eon fell by 2.3 percent to €77.74.

The semiconductor sector saw gains on the day. STMicroelectronics was up 0.8 percent to €14.27 as CSFB reiterated its rating of “outperform” and raised its stock target price from €15 to €16.50. Infineon had its rating upgraded to “outperform”, gained 0.6 percent to €7.98.

Deutsche Post lost 2.2 percent to €19.54 after it said it would purchase UK logistics company Exel for £3.7 billion (€5.47 billion) in a combination of shares and cash.

In Europe on Thursday Germany’s Xetra Dax index was down by 0.1 percent to 4,906.0, again affected by investors’ worries over the outcome of parliamentary elections to be held on Sunday.

However, the pan-European FTSE Eurofirst 300 did a bit better, gaining 0.1 percent to 1,206.45 although election nerves affected it as well.

In the oil sector, an upgrade by UBS still resulted in mixed results. Norsk Hydro and OMV both were upgraded from “neutral” to “buy”, and Norsk Hydro gained 1.4 percent to NKr726.

OMV, however, fell by 1.3 percent to €47.0. In the banking sector, ABM Amro offered €26.50 per share for the 29.5 percent of Banca Antonveneta presently owned by Banca Popolare Italiana.

If the deal goes through, ABM will become the first foreign bank to own a major Italian bank. On this development, ABM gained 1.4 percent to €19.84, Antonveneta fell by 0.9 percent to €26.19, and BPI lost 1.4 percent to €8.555.

In the telecommunications sector, TDC added 6.8 percent to DKr328.0 on rumors that two separate groups were ready to tender bids for the company. Elsewhere in the sector, Swisscom, which has also been mentioned as a possible bidder for TDC, was up 1.8 percent to SFr426.75, while Portugal Telecom gained 2.5 percent to €7.75 even though it reported that net profits in the first half were off from the same period last year.

In Europe on Tuesday, equities markets were down as concerns in several areas affected investors. The FTSE Eurofirst 300 dropped 0.7 percent to 1,201.33, while in Frankfurt the Xetra Dax fell by 1.7 percent to 4,903.15.

Among the worries leading to the declines were continuing high oil prices and the general state of the global economy. The biggest immediate worry, however, seemed to be the German parliamentary elections scheduled for Sunday.

The gap between the two leaders has been shown in polls to be narrowing, and investors are worried that the lack of a clear victory by one or the other will result in a coalition government that will not be willing or able to act on economic reform.

German carmakers seem especially hard-hit on the day. DaimlerChryslyer was down 2.7 percent to €40.80, Volkswagen fell 2.3 percent to €44.13, and BMW lost 2.2 percent to €36.46. In addition, tire-maker Continental fell by 2.7 percent to €65.84.

The energy sector also saw losses. Italian oil company Saipem fell 1.9 percent to €13.30 and Norwegian firm Statoil lost 1.6 percent to NKr158.50, while Neste Oil of Finland dropped 0.8 percent to €28.40.

The paper manufacturing sector, however, saw gains on the day even though analysts’ assessments for the sector were mixed. Stora Enso of Finland gained 2.1 percent to €11.41 and UPM-Kymmene added 1.9 percent to €16.50. Elsewhere in the sector, Norske Skogindustrier of Norway was up 1.7 percent to NKr104.50 and Holmen of Sweden gained 2.3 percent to SKr242.

In the London equities markets on Monday, the FTSE 100 had gained 0.1 percent to 5,366.0 by mid-afternoon, while the FTSE 250 was up by 0.6 percent to 7,894.1.

Once again, speculation of mergers and acquisitions within the utilities sector took the spotlight. Scottish Power gained 2.5 percent to 569½p on a Sunday report that Scottish & Southern Energy could be poised to make a bid for it. S&SE lost 0.1 percent to £10.11 on the talk.

Centrica was up 1.1 percent to 262.85p despite issuing a profit warning on Friday and having Dresdner Kleinwort Wasserstein reiterate its “sell” rating for its shares as reports surfaced over the weekend that German company RWE might be considering bidding for the company.

Elsewhere, Rentokil Initial dropped 0.3 percent as investors consider the pursuit of the company by businessman Gerry Robinson.

Advertising agency WPP gained 1 percent to 579p as Morgan Stanley upgraded their shares from “equal-weight” to “overweight”.

Cruise ship company Carnival benefited from an assessment by Barrons that the sector might be undervalued due to the increasing popularity of cruises, gaining 2.1 percent to £28.90.

Results were mixed in the New York equities markets on Monday, but with not much movement in either direction by the end of the session. The Dow Jones Industrial Average was up a fraction to 10,682.94 and the Nasdaq composite gained 0.3 percent to 2,182.83, but the S&P 500 fell fractionally to 1,240.57.

The lackluster performance followed gains last week that came on optimism that the huge reconstruction job after Hurricane Katrina would benefit the economy.

Two airlines trying to avoid bankruptcy saw declines. Shares in Northwest Airlines dropped by 3.3 percent to $3.31 after discussions with striking mechanics broke down, and Delta Air Lines fell by 22.7 percent to 85 cents as rumors circulated that a bankruptcy filing could come at any time.

In the oil and gas sectors, retreats were also abundant. Oil refiner Sunoco dropped 4.5 percent to $76.09, while Exxon Mobil lost 1.1 percent to $62.52 as crude oil prices fell. Meanwhile, natural gas producer Dynergy lost 1.9 percent to $4.66 after it announced that two of its facilities were damaged by Katrina.

Elsewhere, eBay was up by 0.8 percent to $38.94 after it announced that it will purchase internet telephone group Skype for $2.6 billion. Contractor Halliburton dropped by 3.8 percent to $63.60.

Amid more talk from some but not analysts that Hurricane Katrina could be a stimulus to the economy and that it could result in at least a pause in the Federal Reserve’s interest rate hikes while the Gulf Coast rebuilds, the New York equities markets ended the day Friday and the week up. The Dow Jones Industrial Average gained 0.8 percent on the day to 10,678.56.

It was up 2.2 percent for the week and has gained 2.7 percent since August 26, the Friday before Katrina ravaged the US Gulf Coast. The Nasdaq composite was up 0.4 percent on Friday to 2,175.51, gaining 1.6 percent on the week and 2.6 percent since August 26.

The S&P 500 added 0.8 percent to 1,241.48 on Friday, was up 1.9 percent on the week, and has gained 3 percent since August 26.

The oil sector has seen big gains since Katrina hit. Valero Energy was up 3.1 percent to $114.97 on Friday; it has risen 28.2 percent since August 26 and is up 150 percent this year.

Sunoco gained 3.5 percent Friday to $79.65 and has added 25.6 percent since August 26. Meanwhile, homebuilders seemed to recover on Friday after declines earlier in the week.

Hovnanian gained 1.3 percent Friday to $58.21 but lost 2 percent on the week. Toll Brothers gained 1.7 percent to $48.08 Friday for a 1 percent gain during the week, while Pulte was up 4.3 percent to $45.71 on Friday and a 6.9 percent gain over the week.

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.

The equities markets in New York were up sharply on Tuesday after the Labor Day holiday. The Dow Jones Industrial Average gained 1.4 percent to 10,565.12, the Nasdaq composite was up 1.2 percent to 2,166.86, and the S&P 500 advanced by 1.3 percent to 1,233.40.

For the S&P, it was the largest percentage rise in a day since April 21. Every sector within the S&P saw gains on the day, with the real estate and retail sectors each up by over 2.3 percent.

Even the energy sector was up 0.7 percent. The energy sector did not see gains across the board as Dynergy fell by 3.1 percent to $4.36, but Valero Energy gained 0.9 percent to $109.41.

Among retailers, Dollar General was up 1.2 percent to $18.41, Target gained 1.5 percent to $53.96, and Wal-Mart, which had been declining recently on the effect of high oil prices and the concerns they raised about consumer spending, added 2.6 percent to $45.69. Still, Wal-Mart remains off its highs of the past year by 21 percent.

Elsewhere, Home Depot was up 3.4 percent to $41.71 on the belief that the need for rebuilding and repairs after Hurricane Katrina would increase sales for the home improvement retailer. In another sector affected by the storm, Tenet Healthcare fell by 0.6 percent to $11.93 as it continued to evacuate patients and staff from six hospitals in the region.

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.

London equities markets were up on Tuesday even though shares in online gaming companies fell sharply, as utilities saw gains on the strength of a possible bid for Scottish Power. The FTSE 100 gained 0.4 percent to 5,359.2 and the FTSE 250 was up 0.1 percent to 7,795.4.

The online gaming stocks were down amid indications that the popularity of online poker is beginning to slow as recruitment of new players is down and yields per player are lower. Party Gaming was down 33 percent to 105p and BetOnSports lost 13.8 percent to 144p.

Money transfer groups that rely on online gaming for their business were also down. NeTeller fell by 6.9 percent to 841½p, while FireOne was down 11.3 percent to 430p. In addition, Sportingbet, currently in negotiations to merge with Empire Online, declined by 16.2 percent to 311p. The exception in the sector was ubet2win, which added 11.8 percent to 7.12p on the news that it had signed a contract with Victor Chandler International.

Advances in the utilities sector were triggered by a rumored bid for Scottish Power by German company Eon, which raised expectations for the possibility of other mergers. Centrica, which owns British Gas, gained 3.6 percent to 263p.

Water company Kelda was up 2.7 percent to 723½p. Scottish Power and National Grid each added 2.2 percent, to 555¾p and 561p respectively. Electricity groups were also up. International Power gained 2.5 percent to 239½p, while Scottish & Southern Energy was up 1.5 percent to £10.30.

It was a losing day on Wall Street on Friday, but the major indices managed to post gains on the week, remarkable in a week that saw the worst hurricane to ever hit the US coast and a number of economic reports that were far from positive.

The Dow Jones Industrial Average lost 0.12 percent on the day to 10,447.37, although it gained 0.4 percent on the week. Meanwhile, the Nasdaq composite lost 0.32 percent for the day to close at 2,141.07, a gain of 1 percent on the week, and the S&P 500 was down 0.29 percent on the day but up 1.1 percent on the week to close Friday’s session at 1,218.02.

The oil sector made significant gains as prices rose due to closures of oil platforms and refineries as well as predictions of supply shortages. Construction companies and their materials suppliers also saw gains as it became clear that extensive rebuilding in the hurricane zone would be necessary.

The S&P 500 oil and gas refiners’ index gained 17.8 percent on the week. In individual oil stocks, ExxonMobil was down 1.3 percent on Friday but gained 4.3 percent on the week to $60.87, Sunoco fell 1.5 percent on Friday but was up 18 percent on the week, and Valero Energy gained 0.4 percent on the day and 16.6 percent on the week to $109.96.

In the construction sector, Halliburton was up 8.6 percent on the week, even though it lost 1.3 percent to close at $62.35. Retailers had a bad week, as the S&P 500 apparel retailers index fell 3.7 percent on the week and the department store index lost 4.9 percent.

Leisure sectors also saw declines, as the S&P casino index was down 5.1 percent and the hotels index lost 4.1 percent, both on concerns of the short and long-term effects of Katrina on sector business in the Southeast US.

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 New York equities markets were mixed on Thursday as more bad news from the hurricane zone came in as well, on top of several items of negative data on the economy.

While the S&P 500 was up slightly to 1,221.59, the Dow Jones Industrial Average lost 0.7 percent to 10,459.63 and the Nasdaq composite was down slightly to 2,147.90.

Among the reports released during the day were those showing that consumer spending was up by 1 percent in July, while personal income was up only 0.3 percent and personal savings was at negative 0.6 percent, the lowest level in the 46 years the government has been keeping statistics. Another report showed manufacturing activity down in August.

Energy stocks did especially well on the day. XTO Energy was up 2.4 percent to $40.77, Valero Energy gained 2.8 percent to $109.50, and ExxonMobil added 2.97 percent to $61.68.

Among retailers, Costco gained 0.5 percent to $43.18 and Wal-Mart was up 0.3 percent to $45.09 on a 3.3 percent rise in sales, but Target lost 1.8 percent to $52.78 even though it reported an increase in sales of 6.3 percent.

One of the biggest gainers on the day was in the pharmaceutical sector, as Chiron gained 17.81 percent to $42.93 when Novartis offered $4.5 billion to purchase the rest of the company. Novartis gained 1 percent to $49.19.

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.

Crude oil prices once again were a major reason that Tokyo equities markets ended the day lower on Wednesday. The Nikkei 225 was down 0.3 percent to 12,413.60, while the Topix index fell 0.2 percent to 1,271.29.

Airlines, shippers and automobile manufacturers all fell, as did the transport equipment sector, which was down 0.8 percent as a whole. Toyota lost 1.1 percent to ¥4,500 as investors worried that the export-dependent carmaker could be harmed if demand in the US goes down due to high oil prices.

Japan Airlines, which said it was considering raising domestic fares, was down 1.3 percent to ¥311, as the air transport sector fell 0.6 percent. Shipper Mitsui OSK declined by 0.7 percent to ¥808.

In addition Japan’s second largest travel agency, Kinki Nippon Tourist, lost 3.7 percent to ¥315 on worries that travel costs will increase.

Oil refiner and shipper Cosmo Oil decreased by 4.7 percent to ¥549 on the announcement that it would issue ¥39 billion in new bonds and shares as it tries to raise money to expand its refining capacity.

European oil stocks were up on Wednesday as oil prices stayed high, while telecommunications stocks saw losses on the day. The FTSE Eurofirst 300 gained 0.9 percent on the day to 1,177.19.

France Telecom was down 0.8 percent to €24.41 as it offered a rights issue worth €3 billion in order to aid in funding Spanish mobile phone operator Amena, a purchase worth €6.4 billion. OTE, the Greek telecommunications company, was up early but then ended the day down by 2.2 percent to €16.76 although it had beat forecasts for profits in the second quarter.

In the oil and gas sector, Neste Oil of Finland gained 9 percent to €27.25, the highest rise of the day. Repsol YFP and Total each gained 2.6 percent on the day, as Repsol closed at €23.98 and Total ended the session at €213.10. Eni added 2.3 percent to close the day at €23.97. Oil services company Saipem was up 2.7 percent to €13.63.

In the pharmaceuticals sector, Sanofi-Aventis lost 1 percent to €69.20, losing gains from its earnings goal for the full year when Deutsche Bank said that the company’s testing of new drugs has come up with mixed results due to a key depression drug it is developing was successful in one test, but did not make it through the testing process on another trial.

London equities markets were up on Wednesday in spite of worries about short and long-term repercussions for the oil infrastructure on the US Gulf Coast due to damages incurred by Hurricane Katrina. The FTSE 100 was up 0.8 percent to 5,296.9 and the FTSE 250 gained 7,749.2 on a volume of 3.1 billion shares traded.

With the rise in oil prices, oil stocks were up despite damage to facilities in the storm zone. Royal Dutch Shell “B” shares gained 2.1 percent to £18.81 despite reports that two of their drilling rigs were adrift in the Gulf of Mexico, ripped loose from their moorings by Katrina.

The mining sector saw gains after Morgan Stanley said that demand from China will mean the peak of the current commodities cycle will not come until into 2006 and predicted that iron ore prices will go up by 5 percent next year. In the sector, Vedanta Resources gained 2.2 percent to 564p, while Anglo American gained 1.8 percent to £14.02.

In the telecommunications sector, mobile phone operator O2 gained 2.3 percent to 153¼p after Morgan Stanley increased the company’s target price to 175p per share, saying that a takeover of the company was still a possibility.

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.

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.

Despite the chaos caused by Hurricane Katrina on the US Gulf Coast on Monday, the New York equities markets recovered from early losses to close in positive territory for the day.

The Dow Jones Industrial Average closed up 0.6 percent to 10,463.05, the Nasdaq composite ended the day ahead by 0.8 percent to 2,137.65, and the S&P 500 gained 0.6 percent to close at 1,212.31.

Higher oil prices helped oil companies to gains. Chevron gained 0.2 percent to $59.51, while BP added 0.4 percent to close at $66.35.

Some companies saw gains due to projections of increases in business due to the hurricane. For example, housing products retailer Home Depot was up 1.8 percent to $40.54. Others were down on the day due to the effects of the storm.

Insurers were hard hit, as it was estimated that losses from the Katrina might total as high as $25 billion, the costliest storm in the history of the US. St. Paul’s Travellers lost 1.1 percent and Allstate was down by 1.3 percent to $57.18. Isle of Capri Casinos was down by 2.9 percent to $23.47. The company, which runs riverboat casinos in Louisiana and Mississippi could sustain severe losses if their facilities are damaged, as production disruption insurance generally does not come into force until 90 days after the damage occurs.

On the winning side for the day PaAmSat, a new satellite operator set to become the largest in the world, gained 20.2 percent on the day to $23.80.

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 results of high oil prices ran the results on European equities markets on Thursday, even though crude oil prices retreated some from record high prices as the day progressed.

The FTSE Eurofirst 300 dropped 0.7 percent to 1,172.57, its lowest close in three weeks.

Oil stocks were up early but gave up their gains later in the day, and shares in companies highly dependent on oil and oil products were down on the prospect of having to pay higher prices for those products.

In the oil sector, Total lost 1 percent to €207.30, while Repsol fell by 1.4 percent to €23.52 and Eni declined by 1.5 percent to €23.49.

Oil service group Saipem, however, gained 1.8 percent to €13.14 on an upgraded rating to “buy” from “neutral” from UBS.

Among oil-dependent companies, chemical group BASF lost 1.2 percent to €57.28.

In the automobile sector, Renault dropped 1.8 percent to €72.30, while Volkswagen was down 1.5 percent to €43.29.

The airlines were down as well, with Lufthansa losing 0.8 percent to €10.89 and Air France-KLM closing down 2.8 percent at €13.25.

Technology were also down on worries that higher energy costs would mean less money to spend elsewhere. Infineon lost 0.6 percent to €7.90, while STMicroelectronics was down 0.9 percent to €13.55 and ASML dropped 1.6 percent to €13.69.

Ericsson fell 2.3 percent to SKr25.60, and Nokia was down 1 percent to €12.67.

The London equities markets were lower on Wednesday as the mining sector
declined and merger rumors swirled around a utility.

The FTSE 100 dropped 0.5 percent to 5,275.2, while the FTSE 250 fell a fraction to 7,704.5 on a volume of 2.6 billion shares traded.

In the mining sector, BHP Billiton lost 3.7 percent to 804p despite reporting record profits for the full year.

Elsewhere in the sector, Rio Tinto lost 3.4 percent to £19.67, Anglo American dropped 2.7 percent to £13.74, and Antofagasta fell by 2.4 percent to £14.56.

Electric and gas utility Centrica was the focus of merger rumors, with several companies said to be interested in acquiring the company.

Most of the talk focused on Norwegian company Norsk Hydro after it admitted to having engaged in talks with Centrica earlier in the year.

Other names that were raised as possible suitors were Russian company Gazprom, Royal Dutch Shell, Gaz de France, and BG Group.

Analysts debated which companies might actually be thinking about buying Centrica and whether there were even any talks going on. Centrica would not comment, but its shares gained 3.8 percent to 252 ¾p.

Trade in the utility was heavy at 106 million shares traded on the day.

Volumes were light on European equities markets on Tuesday as many investors took summer holidays and as the FTSE Eurofirst 300 lost 0.6 percent to 1,186.73.

The pharmaceuticals sector was still feeling the fallout from last Friday’s jury verdict against Merck in the first Vioxx case to reach the US courts. Novo Nordisk lost 1.5 percent to DKr323.50 after a US rival reported success in clinical trials of a diabetes drug, which caused concerns that Novo Nordisk’s development of a similar product might be undermined.

Elsewhere in the sector, Sanofi-Aventis lost 1.6 percent to €70.65 and Novartis and Roche each declined by 1.1 percent. Novartis ended the session at SFr61.65, while Roche settled at SFr173.60.

Oil prices caused declines in both the oil sector and in sectors which use a great deal of oil products. In the oil sector, Eni dropped 2.1 percent to €23.47, Total lost 1.2 percent to €208.30, and Repsol YPF declined by
1 percent to €23.86.

Most companies in the automobile manufacturing sector were also down on the day. The exception was Fiat, which closed up 2.8 percent to €7.446 on the heels of Monday’s 3.3 percent gain. Elsewhere in the sector, Peugeot lost 1.2 percent to €51.80, DaimlerChrysler fell 1.3 percent to €42.14, Porsche closed 1.9 percent lower at €643.22.

In the airlines sector, Air France lost 2.4 percent to €13.62 and Lufthansa closed even at €11.09 after recovering from a decline earlier in the day.

The New York equities markets had a positive day on Monday, as the Dow Jones Industrial Average closed up 0.1 percent to 10,570.53, the S&P 500 ended the day with an increase of 0.2 percent to 1,221.79, and the Nasdaq index rose by 0.3 percent to 2,141.44.

The news was not good for everyone, however, as Merck continued its slide begun Friday with the announcement of a jury verdict against the company in the case of a man who died after taking their pain killer Vioxx. Merck dropped 0.6 percent to $27.89, bringing its two-day decline to nearly 8.3 percent.

In the semiconductor sector, Texas Instruments gained 2.5 percent to $31.95 and Intel added 1.6 percent to $26.06. Many of the gains on the day came in relation to news on mergers and acquisitions.

Canadian-owned oil producer PetroKazakhstan gained 18.4 percent to $53.75 after it accepted an offer by the China National Petroleum Corporation, which offered $55 per share for the company.

Shares in Evetech Pharmaceuticals gained 29.6 percent to $18.13 after OSI Pharmaceuticals agreed to purchase Evetech for around $935 million. The purchase didn’t help OSI, however, which saw its shares declined by 21.7 percent to $31.92.

The news that Maytag and Whirlpool had signed a formal agreement for Whirlpool to acquire Maytag did not help shares in those companies, either. Maytag lost 0.1 percent to $18.69 and Whirlpool declined by 0.4 percent to $81.48.

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.