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Markets

European stocks rebound at open

Published Updated

European stockLONDON: Europe's leading stock markets rebounded slightly at the start of trading Tuesday, with London's benchmark FTSE 100 index up 0.52 percent to 5,900.75 points.

Frankfurt's DAX 30 gained 0.34 percent to 7,050.85 points and in Paris the CAC 40 won 0.48 percent to 3,899.68.

The indices had closed down more than two percent Monday as a Standard & Poor's downgrade on the US debt outlook spooked investors already worried by signs of fresh tensions over eurozone public finances.

The S&P downgrade on the US debt outlook to 'negative' from 'stable' set off a chain reaction across all markets on fears Washington might not be able to resolve its financial problems.

Asian shares, reacting Tuesday for the first time since the downgrade, closed sharply lower. Wall Street had also tumbled on Monday.

Copyright AFP (Agence France-Presse), 2011

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