By Sara Sjolin, MarketWatch
LONDON (MarketWatch)--European stock markets staged broad-based
gains on Wednesday, keying off overnight gains in Asia after
China's new leaders implied they would continue their supportive
policy stance.
The Stoxx Europe 600 index rose 0.2% to 276.89, on track for a
third straight day of gains.
U.S. stock futures also pointed to a higher open on Wall
Street.
Shares of Nokia Corp. (NOK) put in the best performance in the
index, up 7%, after the Finnish mobile-phone maker said it is
launching a new Windows-based Lumia handset in partnership with
China's biggest operator, China Mobile Ltd.
Shares of Tesco PLC (TESO) added 2.7%. The British supermarkets
retailer said it would review its U.S. Fresh & Easy business
and said it is clear it won't "deliver shareholder returns on an
appropriate time frame in its current form."
Shares of Assa Abloy AB dropped 0.8%, after J.P. Morgan Cazenove
cut the lock manufacturer to neutral from overweight.
Eur- zone data was also in focus, after the region's composite
purchasing manager's index rebounded in November from a 40-month
low the prior month, but continued to signal a deep contraction in
private-sector output.
Elsewhere, markets took inspiration from Asia, where most
bourses were in positive territory, after comments from a meeting
of China's new leadership on Tuesday signaled that an accommodative
economy policy would remain in place in coming quarters.
Additionally, it stressed it would actively promote urbanization,
expected to spur infrastructure investments and support Chine
growth.
"It also said it would make economic policies more targeted and
effective and fine-tune these policies in an appropriate and timely
way, indicating economic reform measures in coming years," analysts
at Danske Bank said in a note.
Resource firms, which generally rise on any growth indications
from China, were among the biggest gainers in Europe.
Shares of Rio Tinto PLC (RIO) climbed 2.6% in London, while
those of BHP Billiton PLC (BHP) added 2.5%. Metals prices were
higher across the board.
Banks were also on the rise in the U.K., as Citigroup lifted the
European banking sector to overweight.
Shares of heavyweight HSBC Holdings PLC (HBC) rose 0.9% and
Barclays PLC (BCS) picked up 0.6%.
The FTSE 100 index added 0.3% to 5,886.12.
In France, shares of BNP Paribas SA gained 1.2%, after Citigroup
added the stock to its Focus List Europe.
Credit Agricole SA was up 0.7%.
Shares of Renault SA climbed 1.2%, while Peugeot SA shares rose
0.9%, as Citigroup also lifted the European auto sector to
overweight.
The CAC 40 index gained 0.4% to 3,594.86.
And in Germany, shares of BMW AG rose 1.1%.
The DAX 30 index traded 0.3% higher at 7,453.18, with shares of Commerzbank AG up 2%.
Subscribe to WSJ: http://online.wsj.com?mod=djnwires