European shares rise

European shares made their biggest gain in three weeks on Tuesday, buoyed by strong manufacturing data from both the eurozone and the United States, while oil shares also got a boost from rising crude prices. The pan-European FTSEurofirst 300 index rose 1.3 percent to end the day provisionally at 1,158.59 points, the highest close in two weeks.
Heavyweight energy shares gained as Brent crude prices rose well above $101 a barrel, helped by a weaker dollar. Total and ENI rose 3.2 percent and 4.1 percent, respectively. Worries about unrest in Egypt spreading to nearby major oil-producing countries have been a factor in forcing up crude prices, but some analysts have played down this risk.
"There is limited contagion risk from Egypt," said Bob Parker, senior adviser at Credit Suisse. "If we did see a spike-up in oil prices - Saudi Arabia would increase production very quickly." "And there's been strong economic data - note the ISM number data out of the United States." Manufacturing activity in the eurozone accelerated more than previously thought in January, indicating the sector is regaining momentum across most of the region, with the notable exception of Greece, a survey showed.