Equities traded narrowly in Frankfurt in dull volumes with investors unwilling to take fresh positions ahead of the Easter break. The Xetra DAX index ended off 26.01 at 4,841.20.
Rover problems resurfaced at BMW with the company seemingly reopening the war or words with the British government over aid for the troubled British car plant by suggesting that negotiations were running out of time. The stock came off €18.30 to €633.20.
Viag shot ahead to €528 on a broker upgrade plus the overnight news that bid talks with Alusuisse Lonza had been abandoned. Later, on the suggestion that negotiations could be reopened, the shares fell back to €513.50, up €2.50 on the day.
Paris ended a lacklustre session in negative territory as worries over the escalating crisis in Kosovo and a subdued economic growth outlook added to the negative sentiment. The CAC-40 closed down 11.67 at 4,141.98.
Renault, which had rallied sharply in anticipation of its tie-up with Nissan, dropped €1.70 or 4.9 per cent to €33.30 as investors became increasingly wary of the Franco-Japanese venture.
Renault's failure to assume full management control over Nissan could jeopardise the necessary restructuring process, according to analysts. The apparent language barrier was also considered a potential stumbling block.
Drinks companies put in a solid performance. Pernod Ricard jumped €3 to €59 on hopes the sale of its Orangina unit to Coca-Cola would win regulatory approval.
Banking stocks bounced on speculation over the outcome of the restructuring battle. Societe Generale, which gained €5.90 to €173, was expected to raise the stakes for Paribas, which finished €2.20 higher at €103.20. BNP rose €1.15 to €78.65 after its bid for SocGen/Paribas had cleared the last regulatory hurdle.
Amsterdam ended little changed in moderate volumes. Options activity was also limited and the AEX index finished at 534.40, down 0.16. ING added 80 cents at €51.20 ahead of today's results statement and elsewhere among financials Fortis was also firm, improving 90 cents to €35.50.
Zurich retreated after registering early gains and the downward pressure grew as Wall Street opened lower. The SMI index finished 62.2 lower at 7,024.1.
Milan was lower as early interest in Telecom Italia faded and many investors turned their attention to companies about to report 1998 results.
The Mibtel index finished 58 lower at 24,715 with a growing number of investors reluctant to become involved ahead of the Easter holidays.
