MARKET REPORT - EUROPE

Frankfurt DAX: 2690.58 (+ 7)

Frankfurt DAX: 2690.58 (+ 7)

The markets edged ahead again towards the psychological threshold of 2,700, boosted by better than expected US figures. With growth in US producer prices slower than expected, fears of a US interest rates rise subsided.

Paris CAC-40: 2147.12 (+ 11.49)

The French bourse scored a good gain, closing 0.54 per cent up at 2147.12 points. The signs that inflation was restrained in the US helped share prices but volume was thin, with many investors staying on the sideline.

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Milan Mibtel: 9842 (-60)

In lacklustre trading the Italian market closed at its low of the day. Volume was thin. Dealers said it was a bad time for the market, with political instability blocking initiatives and a lack of cash.